What Are Consequential Damages?

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Consequential damages, also known as special damages, are additional damages that resulted indirectly from the original act or actions of the defendant. In order for a plaintiff to be awarded consequential damages, they must prove the claimed damage was foreseeable, given the harm caused by the initial action. For example, lost revenues as a result of a failure to ship a product may be found to be a consequence of the breach of the shipping contract.