In contract law, the rule in Hadley v Baxendale relates to which legal concept?

Answer options:

Mitigation of loss

Remoteness of damage

Specific performance

Frustration of contract

How to approach this question

Link the famous case to its legal principle.

Full Answer

B.Remoteness of damage✓ Correct

Hadley v Baxendale is the leading case on remoteness of damage in contract law, establishing that losses are only recoverable if they arise naturally from the breach or were in the reasonable contemplation of both parties at the time the contract was made.

Common mistakes

Confusing remoteness with mitigation.

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Practice the full ACCA LW — Corporate and Business Law Practice Exam 1

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In contract law, the rule in Hadley v Baxendale relates to which legal concept?

How to approach this question

Full Answer

Common mistakes

Practice the full ACCA LW — Corporate and Business Law Practice Exam 1

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