Certified Professional Contract Manager (CPCM) 2025 – 400 Free Practice Questions to Pass the Exam

Question: 1 / 515

What are expectation damages meant to accomplish?

Ensure long-term business relationships

Increase a party's overall profit margin

Restore an aggrieved party to contract position

Expectation damages are designed to restore the injured party to the position they would have been in had the contract been fully performed. This means the intent is to make the aggrieved party whole again by providing compensation that reflects the value they expected to receive from the contract. These damages focus on the actual benefits or profits that were anticipated from the contract and aim to fulfill the objective of the contract's performance.

In this context, the other options do not align with the primary goal of expectation damages. Long-term business relationships, profit margins, and minimizing negotiation times, while potentially important in a broader business context, are not the primary focus when calculating expectation damages. Instead, the core purpose is the economic restoration of the injured party's position, making the chosen answer accurate in this scenario.

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Minimize negotiation time for future contracts

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