Assignment on Tort Law, ECON345, Understanding damages.
-reduction of water to farm
-removal of dam
i)A court taking a utilitarian view would see whether there is a solution which would maximize total social utility. Therefore 2 situations arise: Situation 1, Dunlop removes the dam and Situation 2, damages are paid to Booth. In Situation 1, the court would have to find out whether taking away the dam creates a greater gain to Booth and creates a minimal loss to Dunlop, whether the amount gained by Booth is higher than the loss to Dunlop. Since the cost of building a dam is larg…
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