Jersey Judgment

Snell v Thacker [2006] JLR 142 (23 March 2006)

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Source document

01

Holding and result

To recover damages for loss of development profits, the plaintiff must prove on the balance of probabilities that the project would have proceeded but for the breach, and where realization depends on a third party, only a substantial chance of obtaining the necessary support need be shown, with the likelihood affecting the quantum of damages.

Court disposition

Guidance on causation and quantum in contract damages claims; specific outcome not provided in excerpt.

02

Material facts

Parties

Snell

Plaintiff

Thacker

Defendant

03

Procedural history

  1. Posture

    Civil / Judgment

04

Questions and positions

Legal issues

Party arguments

Applicant
Plaintiff claims damages for loss of development profits resulting from defendant's breach of contract.
Respondent
Defendant disputes causation and quantum, arguing plaintiff cannot prove loss resulted from breach or that profits would have been realized.

05

Court’s reasoning

  1. 01

    [2006] JLR 142

    Plaintiff must prove on the balance of probabilities that loss suffered resulted from breach of contract. If claim is for loss of development profits, plaintiff must show would have proceeded but for breach. Where realization depends on a third party, such as funding, plaintiff need only show a substantial chance of obtaining it; likelihood affects quantum.

06

Ratio, limits and disposition

Ratio decidendi

To recover damages for loss of development profits, the plaintiff must prove on the balance of probabilities that the project would have proceeded but for the breach, and where realization depends on a third party, only a substantial chance of obtaining the necessary support need be shown, with the likelihood affecting the quantum of damages.

Court disposition

Guidance on causation and quantum in contract damages claims; specific outcome not provided in excerpt.

Source and reliance status

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Source document

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Judgment

[2006] JLR 142

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