The Scope Of Damages For Breach Of Contract

The scope of compensation for breach of contract must be limited in the performance interest, that is to say , in order to repair his entire damages, the observant party could be compensated equal to the state that the contract has been appropriately performed, which is the purpose of the compensation doctrine. In order to make a fair and reasonable compensation, the judge must make a decision according to reasonable expectation, reducing the damages, and the doctrines of contributory negligence, as well as the doctrine of complete compensation.By means of investigating the juridical practices in China, this paper introduces the practical application of reasonable expectation in the juridical practice, reducing the damages, and the doctrine of contributory negligence. Particularly, this paper has a comparative review on the doctrine of reasonable expectation and makes a special analysis on its practical application in China, at the same time giving some suggestions to the judges if they have different decisions to the same case on deciding the scope of compensation for the breach.Apart from those doctrines, there is still too much controversy among scholars in our country about whether bringing the non-property damages to the spirit, or goodwill (and so on) caused by the breach of contract into the compensation scope. In juridical practice, there also exist different opinions and settlement methods. However, it is unfair to the victim if the courts refuse to compensate completely and indiscriminately, and it is also against the doctrine of the civil law. This paper attempts to distinguish the purposes of contracts to determine whether to compensate the non-property damages caused to the spirit, or goodwill (and so on) because of breach of contract.