ABSTRACT
This chapter discusses the special circumstances under which the contract was actually made were communicated by the claimants to the defendants and thus known to both parties, the damages resulting from breach of such a contract, which they would reasonably contemplate, would be the amount of injury which would ordinarily follow from a breach of contract under these special circumstances so known and communicated. In contract, the party seeking protection against a particular risk is free to communicate that risk to the other party, to require precautions to be taken to avoid or reduce that risk, and to require damages to be payable if that risk eventuates and causes loss. If the type of damage is within contemplation as being likely to incur in the event of breach, then generally the claimant is entitled to recovery even if the amount of the loss may be much greater than could have been anticipated.
