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ARTICLE · 14 MARCH 2022

What is an award of damages?

A plaintiff may seek an award for damages after suffering economic loss from the complained conduct of another party.

AustraliaLitigation, Mediation & Arbitration

Damages are a legal relief referring to the sums, assessed in monetary terms, paid to a successful party arising from the wrongful conduct of another party. Damages are generally compensatory in character, as opposed to punitive or vindicatory in nature.

The plaintiff is responsible for proving the losses for which damages are claimed were caused by the defendant on the balance of probabilitiesi. This requires the plaintiff to establish that:

  • The defendant's actions were directly connected with, or substantially caused, by every loss for which the plaintiff seeks damagesii (causation);
  • The plaintiff took reasonable steps to fulfil its duty to ensure continuing losses were not exacerbated by extraneous factors (mitigation), such as the plaintiff's own carelessnessiii; and

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