Hadley V Baxendale Overview

Summary

The Hadley v. Baxendale case is a foundational English contract law case that introduced the principle of foreseeability in awarding damages for breach of contract. It dictates that damages must be reasonably foreseeable at the time the contract was made, and only those damages that naturally result from the breach or were within the contemplation of both parties can be recovered. This principle is crucial in determining the extent of liability in contract disputes. Understanding this case can help in assessing potential outcomes in contract-related legal issues.