Mitigation of Damages

Definition:

Mitigation of damages is a legal principle requiring a party who has suffered a loss or injury to take reasonable steps to minimize the resulting harm. It prevents the injured party from passively allowing damages to increase when they could have been reduced through reasonable efforts.

Legal Glossary

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Mitigation of Damages Information

The doctrine of mitigation of damages ensures fairness by holding injured parties accountable for reducing avoidable losses after a breach of contract, tort, or other harm. It does not require extraordinary efforts or unreasonable expense—only that the person act prudently and in good faith. For example, if an employee is wrongfully terminated, they must attempt to find comparable work to mitigate their financial losses. Failure to do so may reduce the amount of damages recoverable in court. This principle balances the rights of both parties by preventing unjust enrichment and excessive claims.

Florida Legal Definition

Under **Florida law**, the mitigation of damages doctrine applies to both contract and tort cases. Florida courts have consistently held that an injured party has a duty to take reasonable action to lessen their damages once they become aware of the breach or injury. While failure to mitigate does not completely bar recovery, it can proportionally reduce the damages awarded. The **Florida Standard Jury Instructions (Section 504.9)** outline how juries should consider this defense in civil cases. The burden of proving a failure to mitigate lies with the defendant.

How It’s Used in Practice

In practice, mitigation of damages frequently arises in breach of contract, personal injury, and employment law cases. Attorneys use it as a defense to argue that the plaintiff could have lessened their harm through reasonable steps. Businesses and individuals are advised to document all efforts made to mitigate losses, such as seeking replacement goods, re-leasing property, or obtaining new employment. Courts examine these actions closely to determine whether the claimed damages are fair and reasonable. Ultimately, the doctrine promotes responsibility and economic efficiency in resolving disputes.

Key Takeaways

  • Mitigation of damages requires injured parties to take reasonable steps to reduce their losses.
  • It applies in both contract and tort cases to prevent excessive or avoidable claims.
  • Florida law recognizes mitigation as a defense that can reduce, but not eliminate, damages.
  • The burden of proof for failure to mitigate rests with the defendant.
  • Encourages fairness and efficiency by preventing unnecessary financial harm.

Disclaimer: The information and opinions provided are for general educational, informational or entertainment purposes only and should not be construed as legal advice or a substitute for consultation with a qualified attorney. Any information that you read does not create an attorney–client relationship with Barnes Walker, Goethe, Perron, Shea & Johnson, PLLC, or any of its attorneys. Because laws, regulations, and court interpretations may change over time, the definitions and explanations provided here may not reflect the most current legal standards. The application of law varies depending on your particular facts and jurisdiction. For advice regarding your specific situation, please contact one of our Florida attorneys for personalized guidance.

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