Comparative And Jurisprudential Perspectives

Concurrent LiabilityOur mixture of practice excellence and deep business knowledge supplies a distinct competitive benefit to our clientele, bringing together legal knowledge, commercial insight and close specialist support. The court assumed that parties contract on the basis that their liability will be restricted to damage of such kind that is in their reasonable contemplation. The court placed certain emphasis on the truth that when entering into a contract parties have the opportunity to assess whether or not there are particular circumstances which might lead to losses outdoors the usual contractual rule as to remoteness. From the evaluation, it can be concluded that affordable care claims in each contract and tort have incredibly equivalent scope.

Reference to the differences among tort and contract mentioned above (limitation periods, damages, remoteness rules, and application of statutes) will help the plaintiff in deciding how to frame the action. V. Touche, 174 N.E. 441 (N.Y.C.A. 1931), at p. 444, the fundamental policy consideration that should be addressed in negligent misrepresentation actions centres about the possibility that the defendant could be exposed to liability in an indeterminate quantity for an indeterminate time to an indeterminate class”.

Conversely, the test for remoteness in tort is set out in The Wagon Mound (No 1) 1961 AC 388 which held that remoteness was happy if the loss is reasonably foreseeable”. A claim in tort might (in some situations) have the benefit of a longer limitation period. In favouring the contractual guidelines as to remoteness, the Court of Appeal has removed one particular explanation for potentially bringing concurrent claims in tort and contract.

An additional distinction amongst tort and contract claims is the availability of claiming for pure economic loss. The apparent reason for this method was that the plaintiff had calculated its damages in tort as exceeding the damages in contract. Successive judgments delivered in the QB and in the TCC have grappled with the application of concurrent liability. The third essential distinction is that occasionally the measure of damages will be higher in tort, and sometimes greater in contract (Feldthusen, pg 99).

If claiming for pure economic loss, a claim can only be in breach of contract unless there has been a negligent misstatement. Given the similarities of the affordable care” duties below contract and tort, this nuance is particularly significant and additional illustrates the significance, for prospective claimants, of pleading each causes of action. Despite the fact that the claim in this circumstance will be pleaded under breach of contract the duty to take affordable care” is distinctly equivalent to the duty under negligence in tort. All that Lord Goff was clarifying was that the existence of a contract did not, by itself, exclude tortious liability.