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Student
Title
Supervisor
Faculty
Educational Programme
Final Grade
Year of Graduation
Andrey Lipin
Creditor`s Duty to Mitigate Damages Caused by a Breach of the Contract by the Debtor
Corporate Lawyer
(Master’s programme)
2018
The following paper is devoted to studying the creditor's duty to mitigate his damages caused by a breach of contract by the debtor under Russian contract law.

Historically such duty generated in English contract law following a number of precedents and was subsequently adopted by Russian law. However, the simple placing of creditor's duty to mitigate damages on the Russian legal ground has resulted in a collision between common and continental contract law approaches and begetted a number of problems on both theoretical and practical levels. Thus, it is unclear up to this date how breach of creditor's duty to mitigate his damages, which is a ground for reducing the amount of damages to be recovered from the debtor, correlates with the traditional continental law grounds for reducing the amount of damages, mostly with mutual guilt of the creditor and the debtor, lack of causation between the debtor's breach and the creditor's damages and abuse of right. This problem has significant practical implications because such questions as by what amount the damages should be reduced, who shall bear the burden of proofing the possibility to mitigate damages and whether the court can give legal effect to the consequences of the breach by the creditor of such duty on its own motion are answered based on how the creditor's conduct is qualified ( breach the duty to mitigate damages, mutual guilt of the creditor and the debtor, breaking the causation between the debtor's breach and his damages or abuse of right).

Therefore, in this paper an attempt was made at determining on theoretical level the correlation between breach by the creditor of his duty to mitigate damages with the similar grounds for reducing the amount of recoverable damages and describe the main practical implications of such correlation.

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