Wasted Expenditure Loss Law and Legal Definition
Wasted expenditure loss is one of the methods of assessing recovery of damages for breach of contract. A party may seek to claim damages based on the expenses it incurred in anticipation of the contract being performed. This is also known as reliance loss. Wasted expenditure loss might be claimed, for example, where it is not possible to calculate what the profits would have been had the contract been performed or if the contract would have proved unprofitable because of a subsequent drop in the market.
