HADLEY VS. BAXENDALE
Held: Where two parties have made contract which one of them has broken, the damages which the other party ought to receive in the respect of such breach of contract should be such as may fairly and reasonably be considered either arising naturally i.e. according to the usual course of things, from such breach of contract itself, or such as may be reasonably supposed to have been in the contemplation of both parties at the time they made the contract, as the probable result of the breach of it.
foreseen, but is not liable for any losses that the breaching party could not have foreseen on the information available to him.