Parties routinely exclude "consequential losses" in their contractual agreements. But what is a consequential loss? And what is actually covered by a consequential loss exclusion?
With his partner in CxC crime, Calum, Luke discusses a recent Arbitration decision (London Arb 13/21) and explore the law on consequential losses.
This is a great place to start for a refresher on consequential damages. We skip from the famous second limb of the damages test in that old chestnut, Hadley v Baxendale [1854!], through to some of the recent court decisions and see how comfortably this arbitration decision nestles among them. Or not so comfortably...
