Remedies Slides
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Transcript of Remedies Slides
Remedieso Definition: any methods available at law
for the enforcement, protection or recovery of right for their infringement.
o Remedies – damages, injunction, specific performance, quantum meruit.
Innocent party may recover a reasonable sum for goods or services rendered.
1) Damages• Monetary compensation for loss or injury by the contract breaker.• The object is not to punish the party in breach.• The amount of damages can never exceed the actual loss.
Put the injured party in the same position. Categories of damages – liquidated and
unliquidated damages. General or special damages.
Definition: Liquidated damages – sum fixed in advance by the parties to a contract. Unliquidated damages – amount which is
fixed by court.
General damages – losses –natural consequence. Loss that is incapable of precise estimation
Special damages – loss can be quantified e.g loss of earning Section 74(1) Section 74(2) Tham Cheow Teoh v Associated Metal
Smelters Ltd.
Substantial damages –actual damage consist
of pecuniary compensation Nominal damage – small token award Exemplary damage – exceptional
circumstances
2) Specific performance: Decree of court directing the contract shall
be performed specifically. Court discreation When monetary compensation is not
adequate relief
Section 11(1) specific performance may be granted in the following circumstances:
a) The act agreed to be done is in the performance of a trust b) There exist no standard for ascertaining the actual damage caused by non- performance c) non-performance would not provide adequate relief.
d) Pecuniary compensation cannot be obtained.- Section 11(2) Specific Relief Act –
immoveable property.- Zaibun Sa Binti Syed Ahmad v Loh Koon My
Section 20(1) circumstances when contract cannot be specifically enforced:
a) money consideration is an adequate relief b) a contract which ‘runs into minute or numerous detail c) personal qualification d) Requiring supervision by court e) uncertain terms of contract
f) contract which is in nature revocable g) contract made by trustees in excess of power h) Contract made by private or public corporation (i) Performance of a continuous duty exceeding over a period longer than 3 years.
(j) Subject matter of the contract ceased to exist.- 2 circumstances where the court should not enforce contract:a) Circumstances giving plaintiff unfair advantage over defendant
b) Performance would involve hardship on defendant. Section 22 Specific Relief Act – who may
obtain specific performance
3. Injunction: Preventive relief Two types of injunctions (section 50):a) Temporary injunction b) Perpetual injunction
Temporary injunction: Interlocutory or interim injunction
Discretion of court Preserving status quo American Cyanamid Co. v Ethicon
Perpetual or permanent injunction: Granted only after full trial Permanently prohibited from doing the act.
Granting of perpetual injunction:a) To prevent the breach of an obligationb) Section 52(3) – 5 circumstances where the court will grant perpetual injunction.Section 54 – lists situations where injunctioncannot be granted by court.
4. Quantum meruit: The party should be awarded ‘as much as
he had earned’ Award reasonable sum Can also claim – party has carried out work in void contract.