Fidelio Corporation enters into a contract with Equi Insurance,Inc.,to obtain health insurance for Fidelio employees.Equi breaches the contract.If Fidelio is awarded compensatory damages,the purpose would be to
A)establish,as a matter of principle,that Equi acted wrongfully.
B)provide Fidelio with funds for a foreseeable loss beyond the contract.
C)provide Fidelio with funds for its loss of the bargain.
D)punish Equi and set an example to deter others from similar acts.

Question

Quizplus · Accepted Answer

Compensatory damages aim to cover the loss of the bargain, putting the injured party in the position they would have been in if the contract had been fulfilled.

Fidelio Corporation Enters into a Contract with Equi Insurance,Inc