Compensating for unforeseeable damages in torts |
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Authors: | Jeong-Yoo Kim |
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Affiliation: | (1) Department de Dret, Universitat Pompeu Fabra, Ramon Trias Fargas 25-27, 08005 Barcelona, Spain;(2) College of Law, University of Illinois at Urbana-Champaign, University of Illinois College of Law, 504 East Pennsylvania Avenue, Champaign, IL 61820-6909, USA;(3) IMDEA, Madrid, Spain |
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Abstract: | The doctrine regarding unforeseeable damages in a contract was established in the well known case of Hadley vs. Baxendale. According to the judgement, a plaintiff cannot be compensated for unforeseeable damages in an incomplete contract unless he informs the defendant of the possible unforeseen contingency beforehand. In this paper, I extend the argument to the tort case in which it is hardly possible to communicate between a plaintiff and a defendant before an accident occurs. In the case of the sequential bilateral accident in which the victim’s care level is observable to the injurer, the victim’s care level can be a signal of the unforeseen contingency. I mainly discuss the implementability of the social optimum by the contributory negligence with dual standard of care enabling the communication between the parties. |
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