Lesion. What is that?

Often, citizens are faced with the concept of "loss." It should be examined in detail, since at any time, individuals and legal entities can face a situation in which they will be brought material damage.

Definition of concept

Loss is damage caused to one citizen by the unlawful actions of another. Its concept and composition can be supplemented depending on the type of activity of the subject, so it should be carefully studied. It is important to note that real losses are damage caused by a person due to damage or destruction of property, as well as costs aimed at restoring it. It is worth familiarizing with the concept in question in detail, as well as find out what to do in cases when a citizen violates the rights that entailed the receipt of damage.

The concept of loss in economic activity

From the point of view of economic activity, the loss is loss, which is expressed in monetary form. They are also a decrease in material resources, resulting from the fact that the expenses exceed the income. A participant in an economic activity that violated obligations or established requirements must necessarily compensate the entity for which a violation of rights or legitimate interests occurred. Legislation establishes the following components of losses:

• The value of property that was damaged or lost;
• Expenses incurred by a person due to non-performance of obligations by another participant in the activity;
• The lost profit is also considered a loss if it occurred as a result of non-fulfillment of obligations by the party of economic relations;
• Material compensation for moral damage.

For certain types of economic obligations, legislation may establish a limited liability for improper performance or non-fulfillment of obligations stipulated in the agreement. The claim for damages can be satisfied voluntarily. However, if this did not happen, the business entity should contact the higher authorities to resolve the conflict in court.

The concept of loss in civil law

From the point of view of civil law, a loss is a real damage that a citizen received as a result of the actions of another person. It can also be regarded as a lost profit.

If we consider the concept in general, the loss is the costs incurred by a person whose rights have been violated or will have to be made to restore those rights or damaged property. Also, the law specifies that they may be the amount of unearned income, which in the absence of violation of rights would belong to a citizen.

In this case, the person who committed the offense, undertakes to repair the damage. If he has been additionally received benefits, he undertakes to pay it in no small amount. It is worth noting that the Civil Code is based on a general principle, which consists in the full compensation of losses caused to a citizen. He has the right to demand compensation for the material damage suffered in full, unless otherwise provided by the contract or by law. In this case, knowledge of the law is most useful, as a person whose rights are violated, will know what to do in case of such situations.

Profit and loss of organizations

Balance sheet gains and losses are the final financial result, which is determined during the reporting period. It is identified on the basis of business accounting and valuation of balance sheet items. Profit and loss of an organization = this is the amount of money received from the sale of products, fixed assets and other assets of the enterprise, as well as expenses aimed at their implementation.

The profit or loss disclosed in the reporting year is included in its balance sheet, even if they relate to earlier transactions. It is also worth noting that the book profit is the income of the organization before deductions and deductions are made.

Having familiarized themselves with this topic, individuals and legal entities can be sure that their rights and interests are protected by law.