“Contract breakers do not have to compensate their counterparties for all losses caused by their breach of contract. Some losses are too remote. In Hadley v Baxendale (1854) 9 Ex 341, 355, Alderson B held that the only types of loss that were recoverable were ‘those arising naturally or ordinarily from the breach’ and those in the reasonable contemplation of the parties at the time of contracting. What degree of probability of the kind of loss must be in reasonable contemplation at the time of contracting? That was the question tackled by Lord Hodge in Attorney General of the Virgin Islands v Global Water Associates Ltd  UKPC 18,  3 WLR 584 (hereafter ‘Global Waters’) …”
William Day, Remoteness In Contract Damages, Cambridge Law Journal, Volume 80, Issue 1, March 2021, pp 29–31, DOI: https://doi.org/10.1017/S0008197321000210.