Remedies for Breach of Contract8Damages8The Three Categories of Damages8The Compensation Principle8Peevyhouse v. Garland (diminution in value, essential vs. incidental, deterrence against “windfalls”)9Radford v. De Froberville (essential vs. incidental, damages vs. equitable remedies, unjust enrichment)9Ruxley Electronics and Construction Ltd. v. Forsyth (economic waste, introduction of non-pecuniary damages, consumer surplus)10Victory Motors Ltd. v. Bayda (supply and demand and entitlement to expectation damages, precursor to mitigation)10Contract Law and Social Ordering11LAW AND ECONOMICS11Other Aspects of the Compensation Principle11Anglia Television Ltd. v. Reed (pre-contract expenditures, uncertain expectation damages)12Bowlay Logging v. Domtar Ltd. (reliance damages exceeding expectation damages)12Chaplin v. Hicks and Kinkel v. Hyman (chance of a profit is compensable)12Limits on the Award of Damages: Remoteness13Hadley v. Baxendale (reasonable foreseeability of loss)13Victoria Laundry (Windsor) Ltd. v. Newman Industries Ltd. (application of reasonable foreseeability concept)13Implied Acceptance of Special Circumstances14General factors to consider in deciding whether damages are too remote14General purpose of limiting damages through remoteness15Special Problems and Circumstances15Jarvis v. Swans Tours Ltd (Contracts for pleasure, non-pecuniary damages)15Wilson v. Sooter Studios Ltd. (non-pecuniary damages for a peace of mind K)16Wharton v. Tom Harris Chevrolet Oldsmobile Ltd. (non-pecuniary damages, requirement of “sensory experience” discomfort)16Warrington v. Great-West Life Assurance Co. (contracts promising peace of mind, aggravated damages)17The Test to Employ to Find Non-Pecuniary Damages18Aggravated Damages (dont use this term) and Employment Contracts18Punitive Damages19Limits of the Award of Damages: Mitigation19General Notes on Mitigation20Doctrine of Election:21Date of Assessment of Damages21Equitable Remedies22General Comment on Equitable Remedies22Requirements for an order of specific performance22Injunctions and undue restraint on trade23Formation of Contract23Offer and Acceptance23Test Applied23Termination of Offers23Acceptance of offer24Communication of acceptance24Contracts made by mail (Postal Acceptance Rule)24Where is a contract made? (Jurisdictional issues)24Email contracts25Uncertainty in Formation of Contract (unenforceability of agreements to agree, incomplete agreements, or contracts with ambiguous or missing essential terms)25Foley v. Classique Coaches (vagueness in price, arbitration clause, ongoing relationship)25Courtney and Fairbairn Ltd. v. Tolaini Brothers (Hotels) Ltd. (unenforceability of “agreement to agree”, one time (not ongoing) relationship)26Empress Towers Ltd. v. Bank of Nova Scotia (good faith)26Other notes on good faith:27Policy Rationale for Legal formalities (e.g., consideration)27Legal formalities27Statute of Frauds27Consideration27General Comments on Consideration28Consideration and gifts28Past Consideration28Mutual Promises (i.e., Consideration continued)29Great Northern Railway Company v. Witham (Mutual promises, framework agreements)29Wood v. Lucy, Lady Duff-Gordon (implied obligations)29Firm Offers and Unilateral Contracts30Introductory Comments (Read!)30Dawson v. Helicopter Exploration Co Ltd (unilateral vs bilateral contract)31Can offer be revoked when performance on a unilateral contract has commenced?31Going Transaction Adjustments (GTAs)32Policy considerations justifying GTAs:32Harris v. Watson (old case. either an unreasonable application of the doctrine of consideration or a holding that legal GTA not found if modification made under duress)32Stilk v. Myrick (old case. strict application of the doctrine of consideration, concerns about duress found in a GTA)32Raggow v. Scougall (Rescission and creation of new contract to validate a GTA. finding of a GTA by holding that old contract was voided by the mutual acceptance of the GTA. New contract is in place with new terms. This gets around the problem of fresh consideration, one way of doing it)33Stott v. Merit Investment Corporation (Finding of a valid GTA when there is forbearance on the right to sue)33DCB v. Zellers (cases without any legal merit cannot rely on forbearance)34Gilbert Steel Ltd. v. University Construction Ltd. (estoppel cannot be used as a sword, only as shield)34Williams v. Roffey Bros and Nicholls (Contractors) Ltd. (UK Case: GTA may be found when a practical advantage is found to be the consideration)35Pao On v. Lau Yiu Long (Economic duress or fraud, if found, GTA will be unenforceable)35Foakes v Beer (Debt settlement. Payment of a lesser sum for a greater sum is not good consideration but there is an exception)35NAV Canada v. Greater F