LEGAL PRINCIPLE: CIVIL PROCEDURE – Claim for Special Damages – Requirement of Strict Proof and Particularity
PRINCIPLE STATEMENT
In claims for special damages such as loss of specific future commissions, the claimant must plead with particularity and lead credible evidence to substantiate the claimed amounts; mere belief or estimation without factual foundation is insufficient.
RATIO DECIDENDI (SOURCE)
"In a claim for special damages, such as loss of specific future commissions, the claimant must plead with particularity and lead credible evidence to substantiate the claimed amounts. Belief or estimation without a factual foundation is insufficient."
EXPLANATION / SCOPE
This principle establishes the strict requirements for proving special damages, which are specific, quantifiable losses flowing from wrongful conduct. Unlike general damages (which may be presumed or estimated), special damages must be specifically pleaded and strictly proved. “Particularity in pleading” requires identifying the specific items of loss, the amounts claimed for each, and the basis for calculation. Generic or vague claims for unspecified losses are insufficient. “Credible evidence to substantiate” means documentary proof, expert testimony, or other reliable evidence establishing the actual quantum of loss. For future losses like anticipated commissions, this requires evidence of: (1) the existence of specific contracts or arrangements that would have generated the commissions; (2) the probability that these would have materialized but for the defendant’s conduct; (3) the method of calculating the amounts; and (4) factual foundation for the calculations. “Belief or estimation without factual foundation” refers to speculative claims based on what the claimant thinks they might have earned, without concrete evidence. The law does not compensate mere expectations or hopes but only provable losses. This strict approach serves important purposes: (1) it prevents speculative or inflated claims; (2) it ensures defendants know the case they must meet; (3) it enables courts to make findings based on evidence rather than conjecture; (4) it maintains the distinction between compensable losses and mere disappointment of expectations. Failure to plead with particularity or prove with credible evidence results in dismissal of the special damages claim, even if general damages or other relief may be awarded.