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Question from exam kit

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA LW Exams › Question from exam kit

  • This topic has 1 reply, 2 voices, and was last updated 8 years ago by AvatarMikeLittle.
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  • January 22, 2018 at 1:34 pm #432075
    Avatarryuko18
    Member
    • Topics: 14
    • Replies: 2
    • ☆

    A question from Kaplan exam kit. “Paul contracts with Green Ltd to landscape his garden for £1,500. The nearest alternative quote for the work was £2,200 from Eden Ltd. Before the due date for performance, Green Ltd contact Paul to say they can no longer do the work.”

    Which of the following damages can Paul claim for this breach of contract?

    (1) Financial Compensation of £2,200
    (2) Financial Compensation of £700

    Can you explain please why “Financial compensation of £700”, is the answer? Thank you

    January 22, 2018 at 1:46 pm #432078
    AvatarMikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23368
    • ☆☆☆☆☆

    If he gets the alternative company to do the garden, how much EXTRA is he having to pay?

    The extent of damages awarded is to compensate the injured party … it’s not there to punish the transgressor

    OK

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