Description
In assessing quantum where the second defendant had been in breach of duty and not advised the potential purchaser of the planning implications of a property being divided and inhabited by two parties on sale, issues arose as to the assessment of quantum. The correct method of assessment was the no transaction basis. The loss must have been foreseeable as having been with the reasonable contemplation of the parties. As the purchaser had sold the property back to the original vendor he had incurred mortgage redemption costs which were recoverable. However the costs of a postponed holiday were not recoverable. Reasonable business expenses incurred after the discovery of the problem were recoverable. The capital loss method better reflected the real loss sustained as a result of the breach of the retainer.
