California Codes, Civil Code - CIV, Division 4 — General Provisions, Part 1 — Relief, Title 2 — Compensatory Relief, Chapter 2 — Measure of Damages, Article 1 — Damages for Breach of Contract, Section 3305
The detriment caused by the breach of a covenant against incumbrances in a grant of an estate in real property is deemed to be the amount which has been actually expended by the covenantee in extinguishing either the principal or interest thereof, not exceeding in the former case a proportion of the price paid to the grantor equivalent to the relative value at the time of the grant of the property affected by the breach, as compared with the whole, or, in the latter case, interest on a like amount.
Notes
Sets damages for breach of a covenant against encumbrances in a real-property grant at amounts actually spent to extinguish principal or interest. Principal recovery cannot exceed the proportion of the price paid to the grantor corresponding to the relative value, at the grant date, of the property affected by the breach; interest recovery is interest on a like amount.
Use as reference
Lexinter.net | California Code, Civil Code - CIV § 3305 | https://laws.lexinter.net/codes/california/civil-code/division-4/part-1/title-2/chapter-2/article-1/section-3305