CIPS L5M3 Exam - Topic 1 Question 54 Discussion

Actual exam question for CIPS's L5M3 exam

Question #: 54
Topic #: 1

Restitution Measures are an award which seeks to return the value of a benefit which has been seen to be unfairly received. Which of the following statements about Restitution Measures is TRUE? Select TWO

Arestitution damages intend to return the innocent party to the position they were in be-fore the contract

Brestitution damages considers the position of the breaching party before the contract

Crestitution damages are based on how much was gained by the breaching party as a re-sult of the breach

Drestitution damages are not limited to pre-agreed levels stated in the contract

Show Suggested Answer

Suggested Answer: A, C

The correct answers are 1 and 3. These are taken from p. 124. Option 2 is incorrect - this is the definition of reliance damages. Option 4 is also incorrect- restitution damages are limited to pre-agreed levels stated in the contract.

by Evette at Jul 14, 2025, 03:19 AM

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Angelica

5 months ago

B just doesn’t sound right, why would they care about the breaching party’s position?

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Eura

5 months ago

I think C is also correct, it focuses on the breaching party's gains.

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Ashley

6 months ago

Wait, are restitution damages really not limited to what’s in the contract? That seems odd.

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Katlyn

6 months ago

Totally agree with A and C! Makes sense to me.

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Luis

6 months ago

A is definitely true, it’s all about restoring the innocent party.

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Derrick

6 months ago

I feel like B is definitely not right, but I can't quite remember why. It seems off to me.

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Joni

7 months ago

I practiced a question similar to this, and I think D could be true since restitution isn't always limited by contract terms.

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Dick

7 months ago

I'm a bit unsure about A; it sounds familiar, but I can't recall if it's specifically about the innocent party's position.

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Lynelle

7 months ago

I remember that restitution measures focus on the benefit gained, so I think C might be one of the correct answers.

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Dannie

7 months ago

Restitution damages are based on the benefit gained by the breaching party, right? I'm pretty confident about that, but I'll double-check the other details.

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Karma

7 months ago

Okay, I remember learning about restitution in class. I believe it's about restoring the innocent party to their pre-contract position, not considering the breaching party's position.

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Domonique

8 months ago

Hmm, this question seems a bit tricky. I'll need to carefully review the differences between restitution and other types of damages to make sure I select the right statements.

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Pamella

8 months ago

I think I've got a good handle on restitution measures. The key is to focus on the position of the innocent party and the amount gained by the breaching party.

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Catherin

9 months ago

I believe Hermila is correct. Restitution damages are not limited to pre-agreed levels, so D must be one of the correct statements.

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Hermila

9 months ago

I'm not sure about statement C. I think it's A and D that are true.

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Cruz

9 months ago

Restitution, huh? Sounds like they're trying to make the breaching party pay up big time. A and C sound like the right choices to me.

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Frederick

9 months ago

I agree with Nan. Restitution damages aim to restore the innocent party and are based on what the breaching party gained.

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Raylene

10 months ago

Haha, I bet the person who wrote this question was feeling pretty 'restitutious' that day. But in all seriousness, A and C are the way to go.

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Carlee

8 months ago

C) restitution damages are based on how much was gained by the breaching party as a result of the breach

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Alverta

9 months ago

A) restitution damages intend to return the innocent party to the position they were in before the contract

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Nan

10 months ago

I think the correct statements are A and C.

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Chantell

10 months ago

Agreed, A and C make the most sense. This is a tricky one though, I had to read it a few times to really understand the concept of restitution.

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Lynelle

8 months ago

Yes, restitution damages are based on how much the breaching party gained from the breach.

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Lorean

9 months ago

Restitution damages aim to return the innocent party to their pre-contract position.

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Nydia

9 months ago

I agree, A and C are the correct statements about restitution measures.

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Percy

10 months ago

Hmm, I think A and C are the correct answers. Restitution measures are all about putting the innocent party back in their original position before the breach.

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Annalee

9 months ago

I think C is also correct because restitution damages are based on how much the breaching party gained from the breach.

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Jodi

10 months ago

I agree, A is correct because restitution damages aim to restore the innocent party to their original position.

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