CAF-4 · Chapter 10 · Question 1 of 12
When a contract has been broken, the party who suffers by such breach is entitled to receive, from the party who has broken the contract, compensation for:
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: B) Any loss which naturally arose in the usual course of things from such breach.
Explanation
According to Section 73, the injured party is entitled to compensation for loss which naturally arose in the usual course of things, or which the parties knew, when they made the contract, to be likely to result from the breach.
More Remedies for breach of contract MCQs
- Q3When a contract contains a clause stating a specific amount to be paid in case of a breach, this is known as:
- Q4Under Section 74, if a sum is named as the amount to be paid in case of breach, the party complaining is entitled to:
- Q5The primary purpose of awarding damages for breach of contract is:
- Q6What are 'nominal damages'?
- Q7An order of the court requiring a party to carry out their specific promise as per the contract is known as: