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Keywords

contractplaintiffdefendantdamagesappealtrialtestimony
contractplaintiffdefendantdamagesappealtrialwill

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Roth v. Speck, 126 A.2d 153, 61 A.L.R.2d 1004

Facts

The plaintiff, owner of a beauty salon in Silver Spring, Maryland, hired the defendant as a hairdresser under a written contract for one year at a salary of $75 per week or a commission of fifty percent on gross receipts, whichever was greater. The defendant worked for approximately six and a half months before leaving, claiming unbearable conditions. The plaintiff testified that he incurred losses while trying to replace the defendant and provided evidence of the defendant's earnings and the salon's profits.

Plaintiff testified that he was the owner of a beauty salon in Silver Spring, Maryland; that his business was seasonal; and that on April 15, 1955, by a written contract he agreed to employ defendant as a hairdresser for one year.

Issue

What damages was the plaintiff entitled to for the breach of the employment contract by the defendant?

The sole question presented is what damages plaintiff was entitled to under these circumstances.

Rule

When a plaintiff proves a breach of a contractual duty, he is entitled to damages; however, if no proof of actual damages is provided, only nominal damages may be awarded. The measure of damages for breach of an employment contract is the cost of obtaining equivalent services.

It is established law that where a plaintiff proves a breach of a contractual duty he is entitled to damages; however, when he offers no proof of actual damages or the proof is vague and speculative, he is entitled to no more than nominal damages.

Analysis

The court found that the trial court erred in limiting the damages to nominal amounts, as there was evidence of actual damages based on the value of the defendant's services. The plaintiff's testimony and the defendant's subsequent employment at a higher salary indicated that the defendant was a valuable employee. The court noted that the plaintiff's inability to find a satisfactory replacement further supported the claim for damages.

However, we think there was proof of actual damage and that the evidence with regard to the value of defendant's services provided an accurate measure of such damage.

Conclusion

The Municipal Court of Appeals reversed the trial court's judgment and instructed a new trial to determine the appropriate damages.

The judgment will be reversed with instructions to grant a new trial, limited to the issue of damages.

Who won?

The prevailing party is the plaintiff, as the appellate court found that there was sufficient evidence of actual damages that warranted a new trial.

The Municipal Court of Appeals, Quinn, A. J., held that rendering judgment for the employer for nominal damages was error under the evidence.

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