Law | Outcomes in dispute resolution in decided cases and statutes

Welcome to 'The Law in Action': Outcomes in Dispute Resolution

Hello future lawyers! This chapter, Outcomes in Dispute Resolution, is absolutely critical. Why? Because winning a case in court or through negotiation isn't the end of the story—it's the start of the solution!

This section moves beyond the rules of law and looks at what actually happens when a case is decided. We will explore the different outcomes (called remedies) available, how they are determined by judges (decided cases/common law), and how they are defined by Parliament (statutes).

Don't worry if terms like 'damages' or 'injunction' sound confusing; we'll break them down into simple, relatable concepts. Let’s dive in!

Part 1: Judicial Outcomes – Remedies from Decided Cases (Common Law)

When disputes are resolved in a civil court (like a contract dispute or a negligence claim), the outcomes are generally governed by common law (judge-made law). These outcomes aim to restore the injured party (the claimant) to the position they were in before the legal wrong occurred.

1. The Primary Outcome: Damages (Financial Compensation)

Damages are, by far, the most common outcome in civil law cases. They are a monetary award paid by the defendant to the claimant to compensate for the loss suffered.

Think of damages like this: If someone accidentally breaks your expensive phone (the wrong), damages are the money they pay you to buy a brand new one (the remedy).

Key Types of Damages

• Compensatory Damages: The main goal. They compensate the claimant for actual, quantifiable losses. These are further broken down:
  • Special Damages: These cover losses that can be precisely calculated up to the date of the trial (e.g., medical bills, lost wages).
  • General Damages: These cover losses that are harder to quantify monetarily, such as pain, suffering, and loss of amenity (PSLA). Judges use guidelines and precedent (past decided cases) to calculate these figures.
• Nominal Damages: Awarded when the claimant’s legal rights have been breached, but they haven't suffered any actual financial loss. The amount is usually tiny (e.g., £1). The outcome here is proving the point, not getting rich.
• Exemplary (or Punitive) Damages: Very rare. These are meant to punish the defendant for outrageous behavior, not just compensate the claimant. They are intended to deter similar behavior in the future.

Quick Review: The Purpose of Damages
The core outcome is restitution – placing the claimant back into the pre-breach position (as much as money allows). This principle is established and refined through decades of decided cases (case law).

2. Equitable Outcomes: Injunctions

Sometimes, money (damages) is not a suitable remedy. For instance, if your neighbor keeps playing loud music late at night, you don't want money; you want the noise to stop. This is where Injunctions come in.

An injunction is a court order compelling a party to either do something or refrain from doing something. These are equitable remedies, meaning the judge has discretion (the fairness principle) in deciding whether to grant them.

Types and Applications of Injunctions

• Prohibitory Injunction: Orders a party not to do something (e.g., forbidding a company from polluting a river, or preventing a newspaper from publishing confidential information).
• Mandatory Injunction: Orders a party to do something positive (e.g., requiring a landowner to tear down a fence built illegally).
• Interlocutory (Interim) Injunction: A temporary order granted quickly before the full trial takes place, often used to prevent immediate harm (e.g., freezing bank accounts).

Memory Tip: Think of an Injunction like a legal "Stop!" or "Start!" sign. Failure to obey is Contempt of Court, which can lead to fines or even imprisonment.

3. Specific Performance (Contract Law)

This is another crucial equitable remedy, almost exclusively used in contract law.

Specific Performance is an order compelling the breaching party to actually carry out their obligations under the contract.

Why is this different from damages? Because sometimes the subject matter of the contract is unique and cannot be replaced by money.

Example: If you contract to buy a famous, unique painting, and the seller breaches the contract, damages won't help you find that specific artwork. The court may order specific performance, forcing the seller to complete the sale.

Important Rule: Specific performance is only granted if the item is unique. It is never granted for contracts of personal service (you cannot be forced to work for someone).

Summary of Judicial Outcomes

The core outcomes determined by judges (case law) are damages (money) and equitable remedies (court orders like injunctions and specific performance). The choice of remedy depends entirely on the nature of the wrong and whether money is adequate compensation.

Part 2: Outcomes Defined by Statutes (Legislation)

While judges interpret the law and determine common law remedies, statutes (Acts of Parliament) play a massive role in defining outcomes, especially in criminal law and public law fields.

1. Outcomes in Criminal Law: Sentences and Fines

When a defendant is found guilty in a criminal case, the outcome (the sentence) is heavily dictated by statute.

Statutes define the maximum penalty for an offence, giving the judge or magistrate a framework for sentencing.

The Role of Legislation in Sentencing

• Setting the Limits: Acts like the Theft Act 1968 or the Offences Against the Person Act 1861 define the crime and typically state the maximum prison term or level of fine applicable.
• Mandatory Sentences: In certain cases (e.g., murder), statutes require a mandatory outcome, such as a life sentence (though the minimum term is decided by the judge).
• Statutory Fines: Many regulatory offences (e.g., environmental breaches, health and safety) have their financial penalties set out directly in the relevant statute.

Did you know? Sentencing guidelines, while based on judicial experience, often interpret and apply the ranges set out by Parliament in the relevant statute, ensuring consistency across different decided cases.

2. Statutory Compensation and Reparation Schemes

Not all disputes end up in a traditional courtroom with a civil judgment. Sometimes, Parliament creates specific bodies or schemes to provide financial outcomes for victims outside of the lengthy litigation process.

Example: The Criminal Injuries Compensation Authority (CICA)

The CICA Scheme is a perfect example of a statutory outcome.

If a person is injured as a result of a violent crime, they might struggle to find and sue the criminal (who may be in prison or have no money). CICA was established by the government to ensure victims receive compensation for their injuries and losses.

• Mechanism: The outcomes (the level of compensation) are based on a fixed tariff defined by the scheme regulations (i.e., statute). The process is administrative, not judicial.
• The Outcome: The claimant receives a specific monetary award defined by the statutory scale for the injury suffered, rather than relying on a common law judge’s assessment of general damages.

3. Outcomes in Employment Law

Employment tribunals are a specific form of dispute resolution where the outcomes are largely dictated by legislation, such as the Employment Rights Act 1996 and the Equality Act 2010.

• Reinstatement/Re-engagement: These are orders (similar to specific performance, but in a statutory context) that require the employer to give the claimant their job back or a comparable job.
• Statutory Capping: If an employee is successful in a claim for unfair dismissal, the amount of compensation (the outcome) is capped by statute, meaning the tribunal cannot award more than the maximum limit set by Parliament that year.

This demonstrates a clear difference from common law negligence claims, where damages are usually uncapped. The legislative cap is designed to balance the rights of employees with the need for employers to manage risk.

Part 3: Understanding the Interplay of Statute and Case Law

It is crucial to remember that outcomes are rarely determined by just one source. Statutes often define the framework, while case law refines the application.

Common Mistake to Avoid

Do not assume that all civil cases result in damages and all criminal cases result in prison.

• Civil cases can result in non-monetary outcomes (Injunctions).
• Criminal sentences often include compensation orders (money paid to the victim by the offender), which bridges the gap between criminal punishment and civil remedy. However, the power to award that compensation is granted to the court by statute (e.g., the Powers of Criminal Courts (Sentencing) Act 2000).

Quick Review: Defining the Source of the Outcome

If the Outcome is...

Outcome/Remedy	Primary Source	Explanation
General Damages (PSLA)	Decided Cases (Common Law)	The concept and amount are determined by judicial precedent and guidelines.
Prohibitory Injunction	Decided Cases (Equity)	Judge uses discretion based on fairness developed through case law.
Maximum Prison Sentence for Burglary	Statute (Theft Act, etc.)	Parliament defines the mandatory limit.
CICA Payment	Statute (Statutory Scheme)	Compensation amount is fixed by government regulations, not judicial assessment of individual loss.

You have successfully navigated the complexities of legal outcomes! Understanding what a claimant or victim gets, and where the power to grant that remedy comes from (judge or Parliament), is fundamental to grasping Law in Action.