Restitutionary relief is defined as which of the following?

• A. Restores the injured party to the position they were in before entering the contract.
• B. Forces the breaching party to perform the contract.
• C. Pays damages equal to lost profits.
• D. Assigns liability to third parties.

Answer: (A)

Restitutionary relief focuses on undoing the unjust enrichment that occurred when one party benefited from the other’s performance. The remedy aims to place the injured party back in the position they were in before the contract by returning the value of what was conferred, such as money or goods, so the breaching party does not keep the benefit without paying for it. It is not about compelling the other party to perform the contract (that’s a form of specific performance) and it’s not about awarding damages for lost profits (those are expectation damages). It also doesn’t involve shifting liability to a third party.