ABSTRACT

The appropriate measure of damages for breach of contract depends in the first place upon the nature of the breach of contract. In arguing that the costs of repairs are a reasonable measure of damage, the claimant must not only satisfy the court that judgment based upon the cost of repairs rather than diminution in value is the appropriate approach, but also that the cost claimed is itself reasonable. In many of the situations considered, the issue can be stated as being whether the claimant has taken reasonable steps to avoid loss or "to mitigate his loss". A claimant may be unable to claim in respect of loss that could have been avoided by accepting an offer made by the party in breach himself, but the claimant is only required to act reasonably and the standard of reasonableness is not high in view of the fact that the defendant is an admitted wrongdoer.