A loss can flow plainly from a breach and still go uncompensated if it fails one of these filters. This chapter opens with an overview of the three hurdles and where the burden of proof sits, before examining causation in detail: the 'but for' test and the intervening events that can break the chain. It then works through the two-limb remoteness test from Hadley v Baxendale, including the distinction between the type and the extent of loss, and the duty to mitigate — what reasonable steps require, and how avoided losses and failed mitigation costs are treated. It closes by applying all three filters to common fact patterns, showing how to identify exactly which stage a claim fails at.
