Unlike general damages, special or consequential damages are not based on the value of the promised performance, but on the “benefits [the performance] can produce or the losses that may be caused by [the performance’s] absence.”[1] Special damages are those that do not flow from breach of the contract.[2]
For a more in-depth treatment of the subject, see this excellent article.
[1] See Dobbs, § 12.2(3) at 40.
[2] Diaz Irizarry v. Ennia, N.V., 678 F. Supp. 957, 959 (D. P.R. 1988).
