The quantification of damages to be paid is closely related to the basis of assessment. Once the basis for assessment is decided then the quantification of damages may be obvious. However, in some situations the quantification of the loss is complicated or difficult. There are three examples:
Non-pecuniary loss
On occasions a victim may suffer upset and distress caused by the breach if contract. In general, courts do not award compensation for injured feelings in contract cases, as in Addis v Gramophone Co. Ltd.
The courts have developed some exceptions to this rule, for example, if the contract is based on pleasure,relaxation and peace of mind, as in Hamilton Jones v David and Snape.
Loss of amenity
On some occasions a victim may have suffered a breach of contract but the expectation loss basis of assessment will produce an unfair or absurd result, as in Ruxley
Mitigation of loss
Once a breach has occurred the claimant is not allowed to sit back and allow the losses to increase. There is an obligation on the claimant to take reasonable steps to mitigate the losses. However if there is an anticipatory breach, then there is no duty to mitigate, as in White and Carter v Mcgregor.
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