Paralegal Exam Prep

Category - Contracts

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Damages awarded by the court to compensate for reasonable, minor expenses are called:

Punitive.
Incidental.
Compensatory.
Nominal.
Consequential.

Explanation

Answer: B. Damages awarded by the court to compensate for reasonable, minor expenses are called incidental. Incidental damages are used to provide compensation for minor expenses and damages that do not fit into any other category. An example of an incidental expense would the cost to advertise an apartment vacancy after a tenant breaks a lease.

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