CA 31 January 1990 Appeal from first and second defendants from ORC decision that tenants were entitled to recover, as damages , loss of rent s which they would have received in subletting their flat s. The defendants had commenced building operations to construct penthouses on the roofs of the blocks; at the time of the trial, work was still not complete. The tenants had experienced disastrous conditions as a result of the works and claimed damages from the defendants for breach of the covenant s for quiet enjoyment . On appeal by defendants, CA held that the contract rule in Hadley v Baxendale (1854) applied to the measure of damages . The principles for the assessment of damages are set down in Dodd Properties (Kent) Ltd v Canterbury CC (1980) and Calabar Properties Ltd v Stitcher (1984). The leases were long and it was foreseeable that the lessees might wish to sublet. There was nothing in the Calabar decision to preclude damages for loss of rental income from subletting; it was