economic loss. A monetary loss such as lost wages or lost profits. • The term usu. refers to a type of damages recoverable in a lawsuit. For example, in a products-liability suit, economic loss includes the cost of repair or replacement of defective property, as well as commercial loss for the property’s inadequate value and […]
Torts. The principle that a plaintiff cannot sue in tort to recover for purely monetary loss — as opposed to physical injury or property damage — caused by the defendant. • Many states recognize an exception to this rule when the defendant commits fraud or negligent misrepresentation, or when a special relationship exists between the
economic loss rule Read More »
A method of accounting for long-term investment in common stock based on acqui-sition cost, investor income, net losses, and dividends.
equity accounting method Read More »
casualty pot. Tax. A step in evaluating tax liability in which casualty gains and losses are compared to determine whether a net loss or gain has occurred. Cf. MAIN POT.
distributive deviation. A trustee’s authorized or unauthorized departure from the express distributional terms of a trust. • A trustee must apply to the court for authority to deviate from the terms of a trust. In American law, courts rarely authorize deviation unless all the beneficiaries consent and there is no material purpose of the settlor
distributive deviation Read More »
damage, adj. Of or relating to monetary compensation for loss or injury to a person or property (a damage claim) (a damage award). — Also termed damages (a damages claim). Cf. DAMAGES. damage, n. Loss or injury to person or property (actionable damage resulting from negligence).
A partnership in which all partners participate fully in running the business and share equally in profits and losses (though the partners’ monetary contributions may vary). [Cases: Partnership 79, 86, 87. C.J.S. Partnership §§ 90, 94–95.]
general partnership Read More »
penalty clause. A contractual provision that assesses against a defaulting party an excessive monetary charge unrelated to actual harm. • Penalty clauses are generally unenforceable. — Often shortened to penalty. — Also termed penal clause. Cf. LIQUIDATED-DAMAGES CLAUSE; LIMITATION-OF-REMEDIES CLAUSE . [Cases: Damages 76, 80. C.J.S. Damages §§ 176, 185–187, 190–192, 194.] “It not infrequently
A state law that abolishes the rights of action for monetary damages as solace for the emotional trauma occasioned by a loss of love and relationship. • The abolished rights of action include alienation of affections, breach of promise to marry, criminal conversation, and seduction of a person over the legal age of consent. Many