Part Two Compensation, s.Three Miscellaneous Issues Relevant to Compensatory Damages, 17 Equitable (compensatory) damages
Andrew Burrows QC FBA
- Breach of contract — Performance of contract — Types of damages — Types of loss and damages
The Chancery Amendment Act 1858, s 2 (Lord Cairns’s Act) gave the Court of Chancery the power to award damages ‘in addition to or in substitution for [an] injunction or specific performance’. This power to award what are commonly referred to as ‘equitable damages’ is now vested in the courts by the Senior Courts Act 1981, s 50. As regards damages in addition, the power is self-explanatory—whenever an injunction or specific performance is granted, damages can be added. But when may damages in substitution be awarded? The chapter answers this question and examines when equitable damages are more advantageous than common law damages. It also briefly looks at whether non-compensatory equitable damages are ever awarded.