IDEAS home Printed from https://ideas.repec.org/a/sja/journl/v9y2020ispecialp76-82.html
   My bibliography  Save this article

Contractor’S Obligation To Mitigate Damages

Author

Listed:
  • Ovidiu Ioan Dumitru

    (Dean, Faculty of Law, Bucharest University of Economic Studies, Romania)

  • Andrada Laura Tarmigan

    (Bucharest Bar Association, Bucharest University of Economic Studies, Romania)

Abstract

The duty to mitigate damages is recognized as a general principle of law in most jurisdictions and moreover, as a principle of international law. Therefore, it can be applied by courts in contract claims cases, even when it is not expressly stated by the contract. The main criteria is to determine if the party adopted reasonable measures in order to either minimize its loss or to avoid increasing the other part’s loss. The importance of this principle should not be neglected in Construction Contracts, where the Contractor is generally considered as the one obliged to take reasonable steps to reduce costs in the case of an extension of time. Even if the contract breach is attributable to the other party, the courts must consider the Contractor's behavior regarding measures meant to limit the amount damage and the overall negative effects on the economy of the contract. This paper aims to emphasize some aspects regarding the contractual behavior of both Employer and Contractor, when faced with an obligation to mitigate damages in the context of contractual delays, being a useful tool for practitioners for preventing negative financial consequences.

Suggested Citation

  • Ovidiu Ioan Dumitru & Andrada Laura Tarmigan, 2020. "Contractor’S Obligation To Mitigate Damages," Perspectives of Law and Public Administration, Societatea de Stiinte Juridice si Administrative (Society of Juridical and Administrative Sciences), vol. 9(Special I), pages 76-82, September.
    • Handle: RePEc:sja:journl:v:9:y:2020:i:special:p:76-82
    as

    Download full text from publisher

    File URL: http://www.adjuris.ro/revista/articole/an9nrs/8.%20Ovidiu%20Dumitru.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Marboe, Irmgard, 2017. "Calculation of Compensation and Damages in International Investment Law," OUP Catalogue, Oxford University Press, edition 2, number 9780198749936.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Yıldız, Taşkın Deniz, 2022. "Are the compensations given to mining enterprises due to the overlapping with other investments in Turkey enough? Expectations of compensation for profit deprivation," Resources Policy, Elsevier, vol. 75(C).

    More about this item

    Keywords

    construction contracts; contractual damages; critical path; extension of time; intermediate deadline.;
    All these keywords.

    JEL classification:

    • K12 - Law and Economics - - Basic Areas of Law - - - Contract Law
    • K15 - Law and Economics - - Basic Areas of Law - - - Civil Law; Common Law

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sja:journl:v:9:y:2020:i:special:p:76-82. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catalin-Silviu Sararu (email available below). General contact details of provider: https://edirc.repec.org/data/ssjarea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.