The defendant is required to give up any gains they obtained illegally to the plaintiff. The goal is to put the injured party back in the same position they were in before suffering the damages at the fault of the defendant.
The plaintiff is not eligible for restitution if their damages suffered cannot be calculated accurately. Restitution is often awarded to revert the victim to the same position they were in pre-damages or to avoid the unjust party from receiving any beneficial yet illegal gains.
In order to file for restitution, the damages suffered must be measurable. The exact method of calculation will depend on the legal case and the type of damages:. Reliance damages refer to the damages awarded from an unenforceable promise. Reliance damages aim to put the injured party back in the same position they were in before the unenforceable promise was ever made.
These damages are often used when the actual amount of damages cannot be calculated. Restitution applies when one party benefits from the loss of the other party.
Albert — The non-B party can recover reliance damages but these damages are subject to reduction by the breaching party by as much as the breaching party can show the non-B party would have lost if the K had been performed. Restitution may be available: in cases of breach, to either party where a K is unenforceable e.
Restitution by Injured Party An party injured by a breach is entitled to restitution for any benefit he conferred on the breaching party by way of partial performance or reliance. Cambell ] A "? General rule of K breach damages: One who has been injured by a breach of K is entitled to pursue any of 3 remedies: 1 He may treat the K as rescinded and recover upon a quantum meruit so far as he performed this remedy is not available where full-performance has already been rendered ; 2 He may keep the K alive, for the benefit of both parties, being at all times ready and able to perform, or; 3 He may treat the repudiation as putting an end to the K for all purposes of performance, and sue for the profits he would have realized if he had not been prevented from performing i.
Restitution may also arise in a situation where there is a discharge of duties. When monetary damages are insufficient to compensate the plaintiff for the breach, a court can order specific performance, which compels one party to perform, as nearly as practicable, his or her duties specified in the contract.
Specific performance is generally used in cases where the object transferred is considered to be rare or unique—for example, art or land. Improve this page Learn More. Skip to main content. Module 5: Legal Environment. Search for:. PRactice Question.
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