Types of economic loss recoverable in the law of Tort

Types of economic loss recoverable in the law of Tort

Introduction

When someone is a victim of a crime, it is considered a crime against society, in the form of violating the laws of the state or federal government. Thus, the government, represented by the prosecutor's office, may file charges against an offender for violating society's laws. Victim is able to seek avenues of relief in the form of civil lawsuits against the offender. Law of Tort plays a crucial role in promoting the benefits and controlling the risks of civil torts that remain uncovered under the criminal jurisdiction.

Tort law is often treated as synonymous with 'accident law'. In reality, this is misleading as tort addresses many situations that go beyond compensation for accidents. Law of tort establishes the principal mechanism for the provision of compensation for personal injuries through the tort of negligence. In this context, majority of people are most likely to encounter it in their day to day activities1. The institutions of Tort law and civil justice have come to play a prominent role in European politics. The expanding influence of courts is evident in domestic issues, civil human rights, and social regimes. This paper reviews the argument that, in dealing with economic loss cases, the courts have concentrated on the cause of such losses rather than any overarching policy.

Discussion

It has long been familiar with English law, which distinguishes the financial loss is the direct result of negligence, described as 'pure economic loss', and the financial loss due to another injury, a body or property, which in turn is the result of negligence. The requirement of direct harm is variously appreciated by the case law on pure economic loss, which creates inconsistencies. The discretion of a judge is also an obstacle to the recognition of pure economic loss and its compensation. Under English law, the introduction of a number of exceptions to the principle of liability for pure economic loss has weakened the distinction between physical damage and financial loss. In a comparative perspective, the aspects are discussed in turn in favor of the English system. Indeed, as it is seen, it can rule out 'causation when it considers that the injury is too indirect or diffused, especially when it comes to pure economic loss and not with a person or property. Our society has clearly initiated a movement of sanctifying them. Thus, compensation for economic loss will still be deemed legitimate derivative, while the purely economic damages will occasionally do, that is to say if the head is at fault behavior.

Classification of Law of Tort by UK Court:

There are three primary classifications of torts, established by the UK courts. These are intentional torts, unintentional torts, and strict liability torts. In these cases, juries use a preponderance of the evidence standard to make their judgments of liable or not liable. Torts may take the form of scurrilous attacks on a person's reputation (defamation); deliberate physical harm (trespass to person); or calling ...