Answer to Question #50101 in Finance for abdulla sabit

Question

Narrate the rules regarding the determination of amount of damages for breach of contract.

Answer 1

Remedies for breach of contract and the type and amount of damages are amongthe more complex areas of English law – making the wrong move or decision,
where you are the innocent victim of a breach by the other party, can result in
your position being hugely prejudiced and possibly even mean that you end up in
breach and owing the other party !
Considering this at an early stage when thecontract is being drafted as well as urgently following a breach of contract,
could save your business from making a costly mistake. It is essential to take
steps prior to the signing of the contract to ensure you have considered what
your remedy will be in the event of a breach. You will need to estimate your
likely losses and ensure the contract protects your position as much as
possible.