Basic components; a) Table of Contents b) Table of Authorities c) Research Methodology d) Introduction e) Main Body f) Conclusion g) Bibliography

Types of Damages are Available in a Breach of Contract?

Depending on the nature of the breach, you may have several different remedies available to you. The remedies may be subject to reduction or modification if the injured party has also breached the contract. Damages are monetary awards, and they include: Compensatory Damages: These are damages for a monetary amount that is intended to compensate the non-breaching party for losses due to the breach. The aim is to make the injured party whole again. There are two types of compensatory damages: Expectation Damages: Damages intended to cover what the injured party expected to receive from the contract. Calculations are usually straightforward as they are based on the contract itself or market values. Consequential Damages: These are intended to reimburse the aggrieved party for indirect damages besides the contractual loss; for example, loss of business profits due to an undelivered machine. They must flow from the breach, and be reasonably foreseeable upon entering into the contract. Liquidation Damages: Damages that are specifically provided for in the contract. These are available when damages may be hard to foresee and must be a fair estimate of what damages might be in case of breach. Determined during contract formation. Punitive Damages: Intended to punish the breaching actors and to deter them from committing future breaches. Fairly rare in contract cases, though they may be available in certain fraud and tort causes of action that overlap with contract law. Nominal Damages: These are damages which are awarded when the injured plaintiff does not actually incur a monetary loss. Also rare in contract cases because breaches of contract typically involve some sort of loss to one party. May be available in tort crossover claims. Restitutionary Damages: These are not really legal damages per se, but rather are an equitable remedy to prevent the breaching party from being unjustly enriched. For example, if one party has delivered goods but the other party failed to pay, they may be entitled to restitutionary damages to prevent the unjust enrichment.

Introduction
Given the large number of works on the law of damages, one would expect the definition of damages to be fixed and beyond dispute, but it appears that this is not so. A breach of contract occurs when a party to a contract fails to perform some or all of its obligations in the contract. It entitles the other party to claim damages for any loss it suffers. A single breach of contract can result in the awarding of various types of remedies. Depending on the nature of the breach, you may have several different remedies available to you. When a breach of contract is sufficiently serious, the other party is entitled to treat itself as being discharged from further obligations under the contract, instead of or as well as, claiming damages. The existence of remedies and, in particular, damages is vital for the effective operation of contract law. Without effective remedies, the law of contract would lose much of its force and value, and the market economy, which it aims to support and facilitate, would be substantially undermined. The most important aspect of most contract lawsuits is the determination of damages. In common law, damages are the primary remedy for breach of contract. In case of commercial contracts, damages are the most commonly claimed remedy by the commercial people. Damages are a monetary compensation allowed to the injured party for the loss suffered by him in a breach of contract. Damages should put the plaintiff in as good a position as if the defendant had fully performed as required by the contract. If one enters into a contract with someone and that person breaches the contract, the first party is entitled to damagesasaresult oftheotherpartysbreach. Contract damages, however, are designedtoputtheplaintiff inthepositiontheywould have been in had the defendant performed the contract as expected.