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Remedies
University of Alabama School of Law
Irby, R. Brent

 
REMEDIES IRBY SPRING 2016
1.   Compensatory damages
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A.      United States v. Hatahley
                     i.            The purpose of awarded damages is to restore the injured party, as nearly as possible, to the position he would have been had it not been for the wrong of the other party.
                   ii.            Plaintiffs (Navajo Tribe) brought suit against the US because Agents wrongfully seized the plaintiff’s horses and donkeys and had them sold to horsemeat and glue factory.
                 iii.            Plaintiffs did not prove the replacement cost of the animals but claimed they were specially trained and irreparable. The trial court therefore did not take into account replacement cost and rejected evidence of possible replacements in the area and instead relied on testimony and gave them $395 per animal and ½ of the decreased value of their sheep, goats, and cattle since the horses and donkeys were lost. The trial court also awarded $3,500 for pain and suffering.
                 iv.            Must courts make individualized, detailed market value determinations to enable them to award damages so that the injured party is restored, as nearly as possible, to the position he would have been had it not been for the wrong of the other party?
                   v.            Yes. The purpose of awarded damages is to restore the injured party, as nearly as possible, to the position he would have been in had it not been for the wrong of the other party. Accordingly, in this case, the plaintiffs were entitled to the replacement cost of their animals plus the “use value” of the animals between the time the animals were seized and the time the plaintiffs reasonably could have replaced the animals.
1.       The TC should have considered evidence of replacement costs. Though specially trained are worth more, they are not irreplaceable.
2.       The TC incorrectly awarded damages for loos of use: the TC incorrectly placed equal value on all sheep, goats, and cattle, regardless of condition, age or sex of the animal, and after multiplying that value by each plaintiff’s reduction in number of sheep, goats, and cattle reduced that amount by 50% and found that amount “represents damages to the P proximately caused by deprivation of the use of P’s horses. THE FORMULA USED WAS ARBITRARY, PURE SPECULATION, AND CLEARLY ERRONEOUS.
B.      “But for principle of damages”
                     i.            Plaintiff’s “rightful” position but for the wrong is the most basic guide to compensatory damages.
                   ii.            Damage remedies are often described as “substitutionary” because the substitute dollars for what the plaintiff lost.
C.       Corrective Justice Justification
                     i.            The traditional argument for restoring Plaintiff to her rightful position was based on corrective justice. Plaintiff should not be made to suffer because of wrongdoing, and if we restore plaintiff to her rightful position, she will not suffer. To do more would leave her without complete remedy, to do more would provide a windfall.
D.      Efficiency Justification
                     i.            Proponents of the economic analysis of law argue that in most contexts the purpose of law is to maximize the value of conflicting activities.
                   ii.            Activity that is profitable even after payment of all the costs it imposes on others is said to be efficient or economical; other activity is inefficient or uneconomical. The law is said to be efficient to the extent it encourages efficient activity and discourages inefficient activity.
                 iii.            Damages should be set exactly equal to harms inflicted, and then, if the expected profit from a tort or breach of contract exceeds the later, the actor should go ahead. But for reasons to be considered later, intentional torts are generally placed outside this account.
                 iv.            The economic reason for paying damages to victims is so that they will have a reason to sue and enforce the rules against Defendants.
E.      Proving Damages
                     i.            There is no right to jury trial in tort suits against the United States.
                   ii.            Juries do not have to give reasons for their verdicts and rewards. Judges tend to uphold jury determinations on damages, even when the amount is unusually large or small and in round numbers.

laims
                     i.            Chinese Dry wall plaintiffs claimed there was a stigma associated with their homes after using faulty dry wall.
                   ii.            Alabama does not recognize these types of “stigma” claims.
I.        Uses and Measures of Value
                     i.            Familiar damage measures include:
1.        the value of property taken or destroyed,
2.       the difference between the value of property before damages and value after damage, and
3.       the difference between the contract price and the market value of property promised but not delivered.
                   ii.            Value measures of damage are unproblematic in many routine contexts. Value may be proved by:
1.       Price quotations in an active market for the same/similar property,
2.       By the estimates of experts, or
3.       By an estimate by the owner.
J.        Disparities between Value and Replacement Costs – Real Property
                     i.            The owner may put the property to a unique use, in which profit is not a motive – or the owner may value aesthetic features more than the market does. Like an old Victorian home, if it is damaged you should be left out because there isn’t a large market for them.
                   ii.            Damages based on market value might enable Plaintiff to buy another thing, but perhaps not, and certainly not always in the same location.
                 iii.            Equitable Remedies –specific performance of real estate contracts and injunctions against interfering with real estate are based in part on the premise that every parcel of land is unique, so that a substitute parcel somewhere else is not an adequate remedy. 
K.      Disparities Between Value and Replacement Costs – Personal Property