Question

Bill Builder entered into a contract with Carl's Carpets to supply him with the carpeting he needed to complete the renovation of Famous Restaurant. When Carl did not deliver the carpeting on the contract date, Bill had to find similar carpeting from a different vendor for 5 a yard more than he would have paid to Carl. The difference between the cost of the carpet in the contract with Carl and the cost Bill had to pay the new vendor can be recovered from Carl as _________ damages.

Answer 1

Answer:

Consequential damage

Explanation:

Consequential damage is the damages that are specific and that damages are not occurred due to an incident but occurred by the consequences of an incident.  

For example, a car drive met with an accident when seeing another car accident during passing the second car. so we cannot say that the second car is responsible for the first car accident. It is the indirect result of the first car accident.  

We can say that it is a result of indirect consequences.

Types of consequential damages are;

• Compensatory damage  

• General damge

• Punitive damage