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Buyer's Incidental and Consequential Damages

Learn the rules governing whether and to what extent the buyer may recover incidental and consequential damages.

Transcript

In addition to the remedies we discussed in other lessons, which aim to compensate the buyer for the loss of the seller’s performance, Article 2 also permits the buyer to recover incidental and consequential damages.

I. Incidental Damages

Incidental damages compensate the buyer for costs reasonably incurred in dealing with or mitigating the seller’s breach. Section 2-715 articulates three non-exclusive categories of recoverable incidental damages.

A. Handling Expenses

The first category includes...