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Group 4

Remedies
Damages
Sr Dr. Umi Kalsum Zolkafli @ Zulkifly
Jocelyn Kue Jia Ee
Chei Kai Ni
Allysa Hany
Najwa Nabiha
Chan Li Sheng
Syahmi Afiff
What are the Remedies for Breach of Contract?

Several remedies for breach of


contract such as award of damages,
specific performance and injunctions.
The main remedy is an award of
damages in courts of limited
jurisdiction.
According to Section 74, Contract Act had stated that when one of the parties
has encountered losses or injury due to the breach of contract, damages are
granted to him or her as compensation.
Besides that, penalty is often applied to the contract as if the term and
condition of the contract are not reached on the date that has been set.
When one of the parties that had breaks the term and condition that had been
agree by two parties in the contract, breaching of a contract is happened. By
this, the other parties can voice out to pursue for remedies in order to cover
the losses that is faced by him or her.
There are two general categories of
damages that may be awarded if a breach
of contract claim is proved
1.Compensatory Damages.

2. Punitive Damages
Compensatory Damages
Compensatory damages are money awarded to an injured party that
compensate for damages, injury, or another incurred loss. Compensatory
damages are awarded in civil court cases where loss has occurred as a
result of the negligence or unlawful conduct of another party.

To receive compensatory damages, the plaintiff has to prove that a loss


occurred and that it was attributable to the defendant. The plaintiff must
also be able to quantify the amount of loss in the eyes of the jury or judge.
There are two kinds of compensatory damages that the nonbreaching party
may be entitled to recover:
1. General damages
General damages cover the loss directly and necessarily incurred by the breach of contract. General
damages are the most common type of damages awarded for breaches of contract.

2.Special damages
Special damages (also called “consequential damages”) cover any loss incurred by the breach of
contract because of special circumstances or conditions that are not ordinarily predictable. These are
actual losses caused by the breach, but not in a direct and immediate way. To obtain damages for this
type of loss, the nonbreaching party must prove that the breaching party knew of the special
circumstances or requirements at the time the contract was made
Punitive Damages
Punitive damages (also called “exemplary damages”) are awarded to punish or make an
example of a wrongdoer who has acted willfully, maliciously or fraudulently. Unlike
compensatory damages that are intended to cover actual loss, punitive damages are
intended to punish the wrongdoer for egregious behavior and to deter others from
acting in a similar manner. Punitive damages are awarded in addition to compensatory
damages.
Bee Chuan Rubber Factory Sdn Bhd v Loo Sam Moi
the respondent sued the appellant for losses suffered as result of the
appellant’s delay completing the respondent’s house for about 4½
years. As a result, the respondent had to find alternative
accommodation during the said period at the rate of $100 a month.
In this case, the court held that the breach was caused by the
appellant’s delay in the completion of the dwelling house required
for personal occupation. Damages recoverable for such a breach
within the first limb include the reasonable cost of living
accommodation or living elsewhere and storing furniture. For
example if such expenses were in fact

By referring to the case Horne v Midland Railway (1873),


The defendant signed a contract with the customs and excise department to deliver
a consignment of shoes to London by February 3, but one day later. Because of the
delay, the plaintiff lost the opportunity to sell shoes at very high prices. Some
people
think that the defendant is not responsible for the loss. Although he knew that if the
shoes were not delivered before February 3, the plaintiff would have to get them
back, he did not know that the plaintiff would lose an unusually high profit.
(In-house law team , 2018)
Any questions?
Thank You

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