Question

Principle: Damages are payable for breach of contract and the purpose of damages is to compensate him for the loss suffered and not to improve his position more than what is would have been if the contract had been duly performed.
Facts: A wanted to buy a house and he contracted with a surveyor S to inspect a particular house and value it for him. S surveyed the house and valued if for $Rs.10$ lakhs. S, however, failed to notice the defective plumbing system in the house and had he taken not of it, the house would have been worthy only $Rs.8$ lakhs. A followed S's advice and bought the house for $Rs.8$ lakhs and thereafter spent $Rs.4$ lakhs for repairing the plumbing system. He filed a suit against S claiming $Rs.4$ lakhs as damages.

• A. A should get $Rs.4$ lakhs, because that was the amount that he had to spend finally to make the house worth living
• B. A should get $Rs.2$ lakhs, since he paid additional $Rs.2$ lakhs on account of S's negligence
• C. A should get $Rs.4$ lakhs, since that loss was attributable to S's negligence
• D. None of the above

Answer 1

The correct option is A A should get $Rs.4$ lakhs, because that was the amount that he had to spend finally to make the house worth living

The principle states that the purpose of damages is to compensate the injured person and not to improve his position, the amount has spent $4$ lakhs thus he should get back the amount he has spent.