Section 8.24 Consequential Damages

• Library: Construction Law 2016 Supp

M. (§8.24) Consequential Damages

Consequential damages are governed by the parameters set forth in Hadley v. Baxendale, 9 Ex. 341, 156 Eng. Rep. 145 (1854). Recovery of lost profits and other consequential damages will be permitted under this doctrine if the loss was foreseeable or within the contemplation of the parties and the claimant provides reasonable proof of damages. See Spruce Co. v. Mays, 62 S.W.2d 824 (Mo. 1933). Frequently, the requirement of the proof of loss is confused with the modicum of evidence required to quantify the loss. Cf. Harvey v. Timber Res., Inc., 37 S.W.3d 814 (Mo. App. E.D. 2001), with Tnemec Co. v. North Kansas City Dev. Co., 290 S.W.2d 169 (Mo. 1956). Lost profits are more difficult to recover when the claim involves a new business or destruction of a business rather than merely lost profits for an ongoing concern in a discrete transaction. See White v. Pruiett, 39 S.W.3d 857 (Mo...