Can a defendant be held liable for foreseeable damages for breach of contract?
British Columbia, Canada
The following excerpt is from Greig v Desjardins Financial Security Life Assurance Company, 2019 BCSC 1758 (CanLII):
As established in Hadley v. Baxendale, the damages must have been reasonably within the contemplation of both parties at the time they made the contract as a probable result of a breach of it. A second consideration is whether, at the time the contract was formed, the plaintiff communicated any special circumstances to the defendant under which damages may follow from a breach of the contract. If the damages that result from a breach of the contract should have been contemplated or were actually within the knowledge of the parties, then the defendant can be held liable for foreseeable damages.
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