Jing Yao
Restitution vs. Compensation I don't know what's different between Restitution and Compensation. I find this explanation from a website, but it's kind of difficult for me to understand. Can someone please explain it in a simple way for me? Thank you~ ---------------------------------------------- The difference between restitution and compensation lies in the manner in which the monetary award is calculated. With restitution, the award is calculated based on how much the defendant gained from the violation. With compensation, the amount is calculated based on how much the victim lost, financially speaking. In some cases, the judge will give the victim a choice between restitution and compensation. For example, a restitution award may result in a higher payoff to the plaintiff than would compensation. The plaintiff may then be allowed to choose the higher award amount.
Dec 5, 2014 2:06 PM
Answers · 4
In ordinary language, "restitution" and "compensation" are quite similar. The idea of "restitution" can include doing something to repair the damage, and not just paying money. Compensation is generally only money. The distinction in law is more subtle. Here are 2 examples. a) Restitution. You are a car dealer and I sell cars to dealers like you. I agree to sell you 100 cars to meet your orders. I don't deliver the cars. You can't meet your orders. Instead, I sell the cars to someone else and I make a bigger profit. If the judge decides that I must make restitution to you. This means I must pay you the profit I made as a result of breaking my promise to you in our contract. b) I run over you in my car. You cannot work for 1 year. You earn £30,000 per year. I must pay you £30,000 for loss of earnings. This is compensation. Restitution is normally better than compensation for claimants. But occasionally, a compensatory award might be higher than restitution in which case the claimant / plaintiff can choose.compensation.
December 5, 2014
Compensation is something that is given to you because it is owed, for any reason. "Your compensation here includes a salary and a profit-sharing plan." Restitution is compensation that is made to you for a specific reason: to make up for something bad that was done to you. "It sorry that my son broke your window. Please tell me how much it cost you to fix it and I will see to it that he makes restitution."
December 5, 2014
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Jing Yao
Language Skills
Chinese (Mandarin), English
Learning Language
English