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RDG
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At 12:25 18/12/97
-0500, Allan Alexrod wrote:
we have a clump of cases [ranging widely again
from mistake through defective contract situations such as duress or plaintiff-in-breach]
where the measure of recovery is defendant's gain: i at least learned
to call this 'restitution' But of course this is not a simple classification by
measure, because most restitution measures are equivocal, eg :
If P pays over a sum to D and the law allows recovery
back, the measure itself could equally be described as "P's loss" or as
"D's gain".
If D uses P's property and is made to pay the market
rate for so doing, this could be described as "P's loss" or as "D's gain"
or as "P's expectation" - and each of those positions has its supporters
in the literature.
This is why the enquiry has to be broader, and take in
other matters in deciding which description is better.
There are of course a few anomalous remedies which cannot
convincingly be seen other than as measures of gain - I am thinking of
actions to remove profits from defaulting fiduciaries and so on - but
a law of restitution founded principally on obscure instances of that
sort would be a very poor thing.
and why not this last classifying word? you
say because the several cases don't have enough in common to require or
legitimate a label, Precisely. That is the core of it.
and so you want to squeeze the cases in what
i have called the third category back into the other two, which then will
no longer be differentiated by type of remedy but by some other idea Well, that is a side-issue. Certainly I would put them
into one of the earlier classifications if they fairly fit; so should
you.
why deprive the world of a taxonomy of law-suits
classified by remedy measure? remedy measure is certainly important in
practice and for clients etc etc Nobody is trying to deprive anybody of anything; the
question is simply, What is the most convenient description.
As to the "contract price vs. quantum meruit" problem,
with respect that seems to me to be quite irrelevant
to our discussion: if the law prescribes a contract measure then i promise
not to call it a restitution case and if you accept that there is a category
'unjust enrichment' and a measure 'restitution' i promise that my sense
of what is or is not 'unjust' will not be influenced by the existence
of the named category But either measure can happily be described as contractual
or as unjust enrichment, as we please. The work is plainly being done
for reward, and so some sort of expectation measure is appropriate; there
may be an issue as to whether the parties' earlier agreement can still
be relevant ("contract") or whether we should refer to typical market
wage rates ("quantum meruit"), but that doesn't change the nature of the
problem.
For that matter, either measure could be described as
a measure of benefit, the problem then being as to the value to be put
on the benefit.
I would myself think "expectation" a better description
than "benefit", in both cases. But that is secondary. The main point is
that the remedies are rather similar, and the idea that the first case
concerns "the worker's expectation" whereas the second concerns "the employer's
gain" quite unconvincing. It is like saying that one glass is half full,
whereas another is quite different because it is half empty.
Steve Hedley
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