Consequential damages
Indirect loss flowing on from a breach, such as lost profit, lost production or reputational harm.
Definição
Consequential or indirect damages are losses that do not arise immediately from the breach itself but as a knock-on effect, such as lost profit, business interruption or third-party claims. These are the most common target of exclusion in liability clauses. Dutch law has no fixed statutory definition; what qualifies as "consequential" depends on the contractual definition and on the attribution test of articles 6:95 to 6:98 BW.
Exemplo
A supplier excludes consequential damages, so a buyer cannot recover the profit it lost while a defective component halted its factory line.
Porque é um risco para a empresa
Consequential damages are often the biggest financial exposure in a failure scenario, yet they are routinely excluded in supplier terms. If your business depends on a single supplier and that supplier fails, the resulting lost revenue and customer penalties may be entirely unrecoverable under the contract. Accepting a blanket exclusion of indirect loss without understanding what it covers means the largest risks are uninsured and unenforceable.
Como gerir
- Identify your highest-value indirect exposures before signing and negotiate targeted carve-outs from the consequential-damage exclusion for those specific categories.
- Ensure your own business interruption insurance covers losses that the contract does not allow you to recover from the supplier.
- Use contractual milestones and service levels so that a failure is detected and escalated before downstream losses accumulate.
- When you are the party granting the exclusion, define "consequential" precisely so you are not arguing about scope in a dispute.
Referências jurídicas
- BW 6:96 Dutch Civil Code: extent of damages Direito neerlandês
- BW 6:98 Dutch Civil Code: causation and attribution Direito neerlandês
Salvo indicação em contrário, as referências remetem para o direito neerlandês (Burgerlijk Wetboek, o Código Civil neerlandês); os instrumentos da UE, como o RGPD, aplicam-se em toda a UE. Esta é informação geral, não constitui aconselhamento jurídico. Outras jurisdições tratam estes conceitos de forma diferente. Verifique o texto em vigor e a sua situação com um advogado qualificado.
Perguntas frequentes
Questões comuns sobre este termo.