Question

Discuss the following proposition: reliance rather expectations damages are the proper measure of damages for breach of contract in cases (e.g., mistake) where was no actual meeting of minds?

Answer 1

The proposition requires defining reliance, expectations damages, breach of contract and meeting of minds. The meeting of minds implies that two parties have same information before agreeing to the contract and no misconception regarding an understanding of roles of each party. Breach of contract is when either of the party is not able to meet the end of a contract. expectation damages refer to the full value of the contract.

The proposition defines that the parties want to give credit to full expectations instead of reliance. It is about giving full incentives to a place. They want transaction costs of contract with no meeting of the minds.so that in future people will not go into contracts where there is no meeting of the minds.