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Date: Mon, 10 Mar 2008 23:21

From: Richard Wright

Subject: Remedies for Conversion and Trespass to Goods

 

Aren't different issues being confused? It is hornbook law that one is allowed to recover expenses incurred to mitigate damages that otherwise would flow from an actual wrong. It also seems to me that one should be able (and is) allowed to recover the costs expended to avoid an imminent specific wrong, whether the theory is tort or restitution. I think those two situations are all that is intended by the provisions that Marten quotes.

But one cannot and should not be able to recover costs expended to guard against nonspecific, non-imminent wrongs, such as general security precautions to guard against repetitions of wrongs such as were caused in the past.

  

-----Original Message-----
From: Mårten Schultz
Sent: Monday, March 10, 2008 10:23 AM
Subject: SV: Remedies For Conversion & Trespass to Goods

In comparative law literature these problems are well-known. (See for instance the questionnaire and responses to the questionnaire in Ulrich Magnus (ed.), Unification of Tort Law: Damages, Den Haag 2001, p 18.) For instance, in German law the cost of the guard seems recoverable, albeit only with a standardized amount. (At least as far as I understand it, see BGHZ 75, 230.) Austrian law, if I understand it correctly, deals with similar issues under negotiorum gestio and the reason for this is exactly the one just mentioned, that the but-for view of causation poses a problem for compensation in torts.

  

***
The Study Group on a European Civil Code has this general approach to the recovery of costs for preventative measures:

Art. 1:102: Prevention
Where such damage is impending, this Book confers on a person who would suffer the damage a right to prevent it. This right is against a person who would be accountable for the causation of the damage if it occurred.

And:

Article 7:302: Liability for Loss Averting Damage
A person who has reasonably incurred expenditure or suffered other loss in order to prevent an impending damage occurring, or in order to limit the extent or severity of a damage which occurs, has a right to compensation from the person who would have been accountable for the causation of the damage.

The PETL has the following rule:

Art. 2:104.    Preventive expenses
Expenses incurred to prevent threatened damage amount to recoverable damage in so far as reasonably incurred.

***

 

 


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