HI Bar Remedies

Question 1

What is the primary goal of compensatory damages in a contract breach case?

Accepted Answer

To place the non-breaching party in the position they would have been in had the contract been performed

Answer

To punish the breaching party

Answer

To restore the plaintiff to their pre-contract position

Answer

To disgorge the defendant's profits

Question 2

Under the doctrine of avoidable consequences, a plaintiff seeking damages must:

Accepted Answer

Take reasonable steps to mitigate their losses

Answer

Prove the defendant acted with malice

Answer

File a mitigation affidavit within 30 days of injury

Answer

Obtain an injunction before pursuing damages

Question 3

Nominal damages are awarded when:

Accepted Answer

A legal right was violated but no actual monetary loss is proven

Answer

Actual damages are difficult to calculate

Answer

The defendant's conduct was willful

Answer

The plaintiff seeks equitable relief in addition to money

Question 4

A liquidated damages clause in a contract is enforceable when:

Accepted Answer

Actual damages were difficult to estimate at contracting and the amount is a reasonable forecast of harm

Answer

It is designed to penalize the breaching party

Answer

The breaching party agrees to it at the time of breach

Answer

It does not exceed actual damages by more than 10%

Question 5

In Hawaii, punitive damages are available when the defendant's conduct was:

Accepted Answer

Willful, wanton, or oppressive

Answer

Merely negligent

Answer

Motivated solely by economic gain

Answer

Resulting in physical injury only

Question 6

Which of the following is NOT recoverable as compensatory damages in a personal injury action?

Accepted Answer

Defendant's profits derived from the tort

Answer

Medical expenses

Answer

Lost wages

Answer

Pain and suffering

Question 7

Under Hadley v. Baxendale, consequential damages in contract cases are limited to losses that:

Accepted Answer

Were foreseeable as a probable result of breach at the time of contracting

Answer

Exceed the total contract price

Answer

Were caused by the plaintiff's own failure to mitigate

Answer

Arose only after full performance was rendered