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tort and contract remoteness watch

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    Can sb tell me what is the interrelationship of contract law and tort law in the area of remoteness of damage. PLEASE
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    The two important cases for remoteness in each branch of law are Wagon Mound (No 1) and Hadley v Baxendale for Tort and Contract respectively. The former case decides that a defendant will only be liable for damage which is a foreseeable consequence of the breach of duty and the latter case decides that a claiminat can only recover damages for the consequences of a breach which were foreseeable ["arising naturally"] and, more obviously, for consequences which the defendant knew would occur.

    In tort law you only need to foresee the type of injury sustained by the claimant and not the extent and severity of it (Hughes v Lord Advocate; Jolley v Sutton London Borough Council). Conversely, contract law does focus upon extent and severity. Take the Victoria Laundries case, for example; the defendants here were late in their delivery of a boiler which resulted in the claimaint's business working at less than full capacity and therefore losing profit. The courier, however, was only held to be liable for the normal profits which the claimant could be expected to make in the ordinary course of his business and not those which, unbeknown to him, the claimant lost because of his unability to perform a "lucrative government contract" for the washing of military uniforms.

    Another, and more complex distinction, lies in the "temporal" requirements of each test. Foreseeability in tort law is important before the breach of duty is committed. Foreseeability in contract law becomes relevant after breach of contract. I hope this helps you out a bit.
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    Yes it helped, especially last paragraph thank you!
 
 
 
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