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Anglia Television Ltd. v. Reed, [1971] 3 All E.R. 690

Facts:

P was making movie and put a lot of expenses into it. P signed D to be actor. D later rescinded contract

Issue(s):

Can wasted expenditure be claimed for breach of contract?

Ratio:

Can sue for lost profits (expectation) or expenditure (reliance) but not both. Can recover wasted expenditure when flow from beach.
**Wasted expenditure before the breach can also be recovered when the defendant reasonably contemplated that the breach would result in the loss

Analysis:

Plaintiff can claim expenditures they incurred before the contract was signed, provided that it was such as would reasonably be in the contemplation of the parties as likely to be wasted if the contract was broken

Holding:

P can recover entire wasted expenditure


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