"AUSTRALIAN LAWMENTAL STRESS AND DISTRESSSTUSENT’S NAME:As per business law, Remedies are the right by which an injured party has a right to recover forthe losses caused to him by breach of contract from the defaulting party. A remedy available toparties which has suffered because of the breach of contract depends solely on the contractsentered between the parties. If a contract is a consumer contract and caught by Australianconsumer law then rather than a breach of condition or warranty it is a breach of consumerguarantee as per schedule 2 in the competition 2010 and taking in consideration of consumer act2010 of the same schedule. In non-consumer contract the remedy will be by way of damages.However if the monetary remedy is it enough the court me order any one of equitable remediesDamages for breach of contractsAs per the Australianlaw courts doesn’t grant any damages unless the injured party has sufferedeconomical loss but it certain exceptions court provide remedy for damage even though theperson has not suffered any economic loss. Expectation Loss is aLoss incurred due to reliance ofexpectation on the engagement party because of whose negligence the client had suffered loss.Example- loss of profit occurring from the loss of defendant’s performance. (psychology.org,2016)Reliance losses: loss incurred by the engaging party by relying on the defendants promiseand thedefendants has breached such promise. Other breaches where Australian law may grant remedyfor damages are in the case where a party has suffered from Anxiety, FrustrationInconvenience,Discomfort, Mentaldistress, Disappointment and distress. Damage to losses which are ofintangible nature such as mental stress may provide compensation as well as comfort to litigant.Only serious breach of confidentiality would be actionable. Seriousness for any case can bedetermined by whether the invasions was highly offensive, distressful and had a serious impact to a person with normal senses in the place of litigant. There is a high percentage of chance thatextreme invasion of privacy will result in emotionalstress, mental distress or harm the dignity ofthe litigant. (abs.gov, 2016)The common law in Australia has always denied compensation for mental stress when that is theonly loss suffered by the plaintiff. The leading example of which can be seen in the case of lynchvs. knight. As per Australian law where physical injury does not happen to plaintiff, metal oremotional distress will not result in compensation in normal scenario. A recognizable psychiatricinjury is required. It has been confirmed in the case of Tame and Annett’s where it wasconfirmed by the high court that the loss would be compensated if it was proved that the litiganthas suffered from serious illness of psychiatric nature. The Australian position accordinglydiffers from the American common law, which identified that every individual has a right tohave peace of mind along with a right to recover damages for negligent infliction of emotionaldistress. So AS per Safety, Rehabilitation and Compensation Act 1988, in order to receivecompensation for mental distress it is not necessary that the plaintiff has suffered physicaldamage. However it is necessary to demonstrate that the plaintiff is suffering from a condition,which is outside the boundaries of normal mental functioning and behavior. Thereforecompensation would not be payable if the plaintiff is not mentally ill or mentally disturbed. Anydamages can be awarded even though the litigant has suffered from mental stress which may notconstitute as a recognizable illness of psychiatric nature. Such damages are known asPARASITICDAMAGESThe common law has developed for cases of psychiatric injury caused by negligence. As a resultof which right of the plaintiff to recover damages for mental distress or upset. In order to claim for psychiatric injury because of negligence, the standard element of negligencemust be shown.The high court has replaced the arbitrary tests with a simple test to reasonableforeseeability in relation to psychiatric injury. In considering the seriousness of invasion thecourt may consider various factors as mitigating or general damages.There are relevant cases where compensation has been awarded to plaintiff for suffering frommental stress or disorder. In case of Jarvis vs. Swan Tours, Swan tours provided variousamenities in his brochure for a tour to Switzerland. Jarvis went on the tour, but certain amenitieswere not provided as was mentioned in the brochure. Jarvis claimed for damages.The court of appeal unanimously held that where the object of the tour was for enjoyment, theholiday was not up to the expectations of Jarvis as was were mentioned in the swan toursbrochures. As a result of which, Jarvis was entitled to recover for the damages caused to himbecause of the breach of terms by the defaulting party.In case of Baltic Shipping Co. Limited vs. Dillon- 1993-111 ALR 289Baltic Shipping Company agreed to carry Mrs. Dillon on a tour in south pacific in the cruiseliner. She paid 100$ as deposit money on 30th October 1985 and received an acknowledgementof booking in return. She received a booking from the agent containing terms and conditionsregarding penalties for cancellation of the booking with a particular clause stating that“contractin relation to the carriage for travel will be made only at the time of when tickets areissued which were on display in the cruise ship offices. Mrs. Dillon paid the balance amount offare i.e. $2105on the tickets various terms and conditions were printed, which limits thedefendant’s liability for personal injury and personal effects. On the tenth day of the journey theship stuck the rock and later in the evening it sank into the water. Mrs.Dillon was injured due to the accident. As a result of which Mrs. Dillon sued Baltic company for refund of the whole farethat was paid for the tour along with compensation for damages caused due to disappointmentand stress. (australiancontractlaw.com, 2016)The high court in the case found that where the main object of the contract was to provideenjoyment and relaxation and hence if these object cannot be fulfilled the company would beliable for damages and distress. The respondent i.e. Mrs. Dillon was unsuccessful to get entireamount of fare as there was not a total failure of consideration. She has enjoyed the benefit forthe first eight days. As such to provide her with full consideration of fare amount along withdamages would amount to excessive compensation. Refund will be awarded only when there is atotal failure to provide facilities according to the terms of contract. In the given case, Mrs. Dillonhas received eight days of sailing.Hence Mrs. Dillon was entitled to compensation for mentalstress and disorder.There may be certain cases where it is difficult to quantify the amount of damages that adefaulting party has to pay for breach of terms of contract to the injured party. But that doesn’tmean that compensation will not be awarded to the injured party. The court will determine theamount of compensation by exercise of sound imagination in case when the amount of loss to bedetermined is difficult or where the loss is of speculative nature.So as per the question,Henrietta who engaged a firm of solicitors to obtain an injunction so that it can prevent a formermale friend from visiting her and making a nuisance of himself. Henrietta who appointed anunqualified litigation clerk and gave her the matter to handle. The clerk accepted the matter butbecause of his competence over an 11-month period created further embarrassment to Henrietta.Because of which Henrietta has suffered from mental stress and upset. The commonlaw of Australia has provided remedy in such case where a plaintiff had suffered phystricicinjury due to negligence. Henrietta is entitled to compensation. The Australian law provides thatclaim for damages will also be provided in case of mental stress or upset irrespective of the factwhether Henrietta has physical injury or not. Compensation will only be provided if because ofthe incompetence of the firm, Henrietta has suffered from mental trauma or mental disorder. Theclerk knowing his competence should not have accepted the work. But when the clerk acceptedthe work and because of his inability to handle the matter, the client had suffered loss. It appears from the case that the court only will award the damages from distress or mental stresswhen there is a breach of expressed term that the promisor agrees or promise to provide to thepromises. The Australian law has provided such remedy as a result of which Henrietta can claimdamages against the firm for mental stress and upset.Hence on the basis of above explanation and relevant case studies it can be concluded theHenrietta is entitled for compensation from the firm because of whose incompetence she hassuffered from mental distress and upset.References 1345.4 - SA Stats, Mar 2011. 2016. 1345.4 - SA Stats, Mar 2011. [ONLINE] Availableat:http://www.abs.gov.au/AUSSTATS/[email protected]/Lookup/1345.4Feature%20Article2Mar%20201 1. [Accessed 14 May 2016].Australian Psychological Society : Australians†? stress levels remain high, survey reveals .2016.Australian Psychological Society : Australians†? stress levels remain high, surveyreveals . [ONLINE] Available at: https://www.psychology.org.au/inpsych/2014/december/npw/.[Accessed 14 May 2016].Australian Contract Law | Julie Clarke. 2016. Australian Contract Law | Julie Clarke. [ONLINE]Available at: http://www.australiancontractlaw.com/cases/baltic.html. [Accessed 14 May 2016].Baltic Shipping Co v Dillon (The Mikhail Lermontov) (1991) 22 NSWLR 1 [wikiJuris].2016. Baltic Shipping Co v Dillon (The Mikhail Lermontov) (1991) 22 NSWLR 1 [wikiJuris].[ONLINE] Available at:http://wikijuris.net/cases/baltic_shipping_v_dillon_1991. [Accessed 14May 2016].Chapter 2 Section C: Australian National Laws and Standards . 2016. Chapter 2 Section C:Australian National Laws and Standards . [ONLINE] Availableat: http://mhrm.mhcc.org.au/chapter-2/2c.aspx. [Accessed 14 May 2016].Project Gutenberg. 2016. Baltic Shipping Company v Dillon | Project Gutenberg Self-Publishing- eBooks | Read eBooks online . [ONLINE] Availableat:http://www.gutenberg.us/articles/baltic_shipping_company_v_dillon. [Accessed 14 May2016]. Worrying increase in psychological distress in young women. 2016. Worrying increase inpsychological distress in young women. [ONLINE] Availableat: https://www.missionaustralia.com.au/content/item/632-worrying-increase-in-psychological- distress-in-young-women. [Accessed 14 May 2016]."