Monetary compensation given to the affected party for the loss or injury caused to him due to the breach is called __________.

award reward damages compensation

damages

Remedy is a means given by law for the enforcement of the right of a person. A common remedy for breach of contract is awarding damages to the affected party. Monetary compensation given to the affected party for the loss or injury caused to him due to the breach is called damages. The objective of awarding damages by the court is to put the injured party in the same position as he would have been if the contract had not been breached. This, under the contract law, is called the Doctrine of Restitution. The basis of this Doctrine is awarding damages for the pecuniary loss incurred by the party to the contract.