Compensation is the instrument by which a person is reimbursed, or reinstated, for having suffered unjust damages.
In our legal system, the principle applies that each person must behave in a manner that does not harm the position of others. If one’s behavior, whether negligent or intentional, causes unjust damage (i.e., if there is no law authorizing or requiring that particular behavior), one is obligated to compensate the person who suffered it.
For information on the various types of compensation for damages and all the differences, we recommend reading our dedicated guide.
