What distinguishes tort damages from contract damages?

The distinction between tort damages and contract damages primarily lies in their purpose and the context in which they are applied. Tort damages, specifically, are generally awarded to compensate a party for harm or injury caused by another's wrongful act, which is typically not based on a breach of a legal obligation outlined in a contract.

The correct choice highlights that contract damages are primarily aimed at making the injured party whole after a breach of contract occurs. The goal is to restore the non-breaching party to the position they would have been in had the contract been fulfilled. This focuses on the loss of expected benefits from the contract itself. In essence, these damages are calculated based on economic loss resulting directly from the failure to meet contractual obligations.

In contrast, tort damages are designed to address harm or injury inflicted by one party onto another and do not necessarily relate to any contractual relationship. They can include compensatory damages for medical expenses, lost wages, and pain and suffering resulting from negligence or intentional wrongful acts.

Understanding this distinction helps clarify the fundamental principles of tort law versus contract law, as well as the different types of remedies available in each context.