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Prof.

Bell's Contract Damages Flowchart


Start

Was there
a contract?

yes
Was there
breach?

no

no

yes
nonbreaching
party

breaching
party

Which party
seeks recovery?

Did claimant confer


benefit on the other
party? 370.

yes
No contract
damages.

Did breaching
party confer net
benefits? 374(1).

no

No contract
damages.
Does
claimant elect
restitution?

yes

no

Has party
suffering breach
completed
performance?

no

Authorities split on
whether contract price
caps restitution.

No contract
damages.

Can claimant establish


damages with reasonable
certainty? 352.

no

yes

Reliance or even
expectation
damages might
be claimed.

no

yes

yes

no

Does claimaint elect


reliance or
expectation damages?

reliance
yes

Does breaching
party owe
performance other
than payment?

Restitution might
be awarded. 371.
expectation

Contract price
caps reliance.

yes
no
Contract price caps
restitution. 373(2).

Were claimed damages


avoidable, 350, unforeseeable,
351, or not established with
reasonable certainty, 352?
no

Claimed damages
might be awarded.

KDamagesFlow v. 2006.05.01

Was there reasonably


foreseeable reliance on
a promise? 91(1).

no

Note: Section cites refer to R. (2d) of Contracts.

yes

Can claimant elect


different damages?

yes

No contract
damages.

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