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Questions and Answers

What is the role of the general law of remedies?

The general law of remedies incorporates rules dealing with topics such as damages, restitutionary relief, specific performance, and punitive damages.

Why is the general law of remedies fundamental and important?

The general law of remedies reveals most of the leading policies of contract and related law.

In what capacities do lawyers turn to the general law of remedies?

Lawyers turn to the general law of remedies as planners, drafters, interpreters, counselors, negotiators, and litigators.

What standard was applied in the Washington case?

<p>The standard of damages applicable in cases of trespass.</p> Signup and view all the answers

In Morgan v. Gamble, why was the plaintiff denied the benefit of the doctrine of substantial performance?

<p>Because he had deliberately breached his building contract.</p> Signup and view all the answers

According to the ruling in Morgan v. Gamble, what would the owners be entitled to in a suit upon the contract?

<p>The cost of laying a lead pipe as provided in the agreement.</p> Signup and view all the answers

According to recent behavioral research, why do victims of breach feel injured?

<p>Breach creates a feeling of injury that cannot be fully remedied with money.</p> Signup and view all the answers

What did the first systematic exploration of the moral psychology of contracts find?

<p>Subjects believed breach was morally objectionable and should be punished with supracompensatory damages.</p> Signup and view all the answers

In the experiment, what was the average level of damages that subjects asked for?

<p>2.19 times the expectation value.</p> Signup and view all the answers

In the experiment, what percentage of participants believed that the court should enforce specific performance?

<p>66.7 percent.</p> Signup and view all the answers

What is the 'correct doctrine' for measuring damages in a building contract?

<p>The cost of remedying the defect is the 'proper' measure of damages.</p> Signup and view all the answers

Why is the value of the land not considered in measuring damages for a breach of a building contract?

<p>The owner's right to improve his property is not trammeled by its small value.</p> Signup and view all the answers

Would the element of value in the land have any relevance in reckoning damages in a grading contract?

<p>No, the contractor would be compensated for his profit.</p> Signup and view all the answers

What factor is important when measuring damages for breach of construction contracts in the Twin Cities area?

<p>The subject matter being trackage property in the margin of such an area of population and industry.</p> Signup and view all the answers

What are the three principal purposes of awarding contract damages?

<p>The three principal purposes of awarding contract damages are the prevention of unjust enrichment, the protection of the reliance interest, and the protection of the expectation interest.</p> Signup and view all the answers

What is the restitution interest?

<p>The restitution interest is the interest protected when the plaintiff has conferred some value on the defendant in reliance on the defendant's promise and the court may force the defendant to disgorge the value received from the plaintiff to prevent unjust enrichment.</p> Signup and view all the answers

What is the reliance interest?

<p>The reliance interest is the interest protected when the plaintiff has changed their position in reliance on the defendant's promise and damages may be awarded to undo the harm caused by the reliance.</p> Signup and view all the answers

What is the expectation interest?

<p>The expectation interest is the interest protected when damages may be awarded to give the promisee the value of the expectancy which the promise created, or when the defendant may be compelled to render the promised performance or pay the money value of that performance.</p> Signup and view all the answers

What is the distinction between the restitution interest and the reliance interest?

<p>The restitution interest involves unjust impoverishment and unjust gain, while the reliance interest involves the promisee's actual reliance on the promise without enriching the promisor.</p> Signup and view all the answers

How does the reliance interest relate to the expectation interest?

<p>The reliance interest is broader than the restitution interest and includes cases where the plaintiff has relied on the defendant's promise without enriching the defendant. The expectation interest entails losses of a positive character.</p> Signup and view all the answers

According to the author, which 'interest' presents the strongest case for relief?

<p>The restitution interest, which combines unjust impoverishment with unjust gain, presents the strongest case for relief.</p> Signup and view all the answers

What is the justification for legal relief in the transition from compensation for change of position to compensation for loss of expectancy?

<p>The transition from compensation for change of position to compensation for loss of expectancy is a shift from corrective justice to distributive justice, where the law seeks to bring about a new situation and assumes a more active role.</p> Signup and view all the answers

What was the reasonable cost of completing the performance?

<p>The reasonable cost of completing the performance was upwards of $60,000.</p> Signup and view all the answers

What would have been the reasonable value of the property on the determinative date if the defendant had left the premises at the uniform grade required by the lease?

<p>The reasonable value of the property on the determinative date would have been $12,160.</p> Signup and view all the answers

What was the measure of damages adopted by the decision?

<p>The measure of damages adopted by the decision was the difference between the market value of plaintiff's land in the condition it was when the contract was made and what it would have been if defendant had performed.</p> Signup and view all the answers

What is the rule regarding a contractor wilfully and fraudulently varying from the terms of a construction contract?

<p>The rule is that where the contractor wilfully and fraudulently varies from the terms of a construction contract, he cannot sue thereon and have the benefit of the equitable doctrine of substantial performance.</p> Signup and view all the answers

According to the text, why do lawyers turn to the general law of remedies?

<p>To seek a remedy for breach of duty</p> Signup and view all the answers

According to the text, what does the general law of remedies incorporate?

<p>All of the above</p> Signup and view all the answers

According to the text, why is the general law of remedies fundamental and important?

<p>All of the above</p> Signup and view all the answers

According to the text, which interest presents the strongest case for relief?

<p>Restitution interest</p> Signup and view all the answers

According to the text, why is the reliance interest broader than the restitution interest?

<p>Because it includes cases where the plaintiff has relied on the defendant's promise without enriching the defendant</p> Signup and view all the answers

According to the text, what does the expectation interest entail?

<p>Compensation for loss of expectancy</p> Signup and view all the answers

According to the text, what is the purpose of justice according to Aristotle?

<p>Maintenance of an equilibrium of goods among members of society</p> Signup and view all the answers

According to recent behavioral research, what do people seem to prefer as a remedy for breach of contract?

<p>Specific performance</p> Signup and view all the answers

In the experiment mentioned in the text, what percentage of participants believed that the court should enforce specific performance?

<p>66.7%</p> Signup and view all the answers

What was the average level of damages that subjects asked for in the experiment?

<p>2.19 times the expectation value</p> Signup and view all the answers

How did participants in the experiment rate breach on a scale of 1 to 7, where 1 was 'not immoral' and 7 was 'extremely immoral'?

<p>5.5</p> Signup and view all the answers

According to the author, what is the measure of damages adopted in the Washington case?

<p>The measure of damages applicable in cases of trespass</p> Signup and view all the answers

What was the ruling in Morgan v. Gamble regarding the measure of damages for breach of a building contract?

<p>The cost of laying a lead pipe as provided in the agreement</p> Signup and view all the answers

What did the court hold in Morgan v. Gamble regarding a building contractor who substituted an iron pipe for an extra strong lead water pipe?

<p>The contractor is liable for the cost of laying a lead pipe as provided in the agreement</p> Signup and view all the answers

According to the text, what are the three principal purposes of awarding contract damages?

<p>To prevent the defaulting promisor from gaining at the expense of the promisee</p> Signup and view all the answers

According to the text, what is the interest protected when the court forces the defendant to disgorge the value received from the plaintiff?

<p>The restitution interest</p> Signup and view all the answers

According to the text, what is the interest protected when damages are awarded to undo the harm caused by the promisee's reliance on the promisor's promise?

<p>The reliance interest</p> Signup and view all the answers

According to the text, what is the interest protected when the promisee is given the value of the expectancy created by the promise?

<p>The expectation interest</p> Signup and view all the answers

According to the text, what is the 'proper' measure of damages in case of substantial performance in good faith with remediable defects in a building contract?

<p>The cost of remedying the defect</p> Signup and view all the answers

According to the text, what is the reason for not including the value of the land in any measure of damages for a willful breach of a building contract?

<p>The owner's right to improve the property is not restricted by its small value</p> Signup and view all the answers

According to the text, what is the summit from which to reckon damages for a breached contract to improve land?

<p>The hypothetical peak of accomplishment that would have been reached if the work had been done as demanded by the contract</p> Signup and view all the answers

According to the text, why would diminishing damages recoverable against the owner in proportion to the small value of the land favor the faithless contractor?

<p>It would ignore the owner's right to contract and build for the future</p> Signup and view all the answers

According to the text, what is the measure of damages adopted by the decision in the Washington case?

<p>The difference between the market value of plaintiff’s land and what it would have been if defendant had performed</p> Signup and view all the answers

According to the text, what is the rule regarding a contractor wilfully and fraudulently varying from the terms of a construction contract?

<p>The contractor cannot sue thereon and have the benefit of the equitable doctrine of substantial performance</p> Signup and view all the answers

According to the text, what was the reasonable value of the property on the determinative date if the defendant had left the premises at the uniform grade required by the lease?

<p>$12,160</p> Signup and view all the answers

According to the text, what is the justification for legal relief in the transition from compensation for change of position to compensation for loss of expectancy?

<p>The reasonable cost or value of performing what the defendant agreed but failed to perform</p> Signup and view all the answers

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