The measure of damages to which a purchaser is entitled, is, as a general rule, the actual loss or injury sustained by the purchaser as the fair legal and natural result, under all the circumstances, of the vendor's breach, but no recovery can be had for speculative or remote damages, and if no special damages are shown nominal damages only can be recovered.90

Where the vendor, without fraud on his part, is unable to convey a good title, although he represented to the vendee that he had good title, and the defect was unknown to him at the time the contract was made, the purchaser is not entitled to recover damages for the loss of his bargain, but can recover only the purchase money paid with interest, and expenses incurred on the faith of the bargain.91

But where the vendor acts in bad faith in failing or refusing to convey, as where he is chargeable with fraud, the purchaser's recovery is not limited to the purchase money paid with interest and expenses, but he is entitled to compensation for his actual loss, or as it is called, damages for the loss of his bargain.92

Where it is established that a purchaser is entitled to dam ages for the loss of his bargain, his measure of damages is the actual injury he has sustained by the vendor's breach of the contract, together with a return of the purchase money where paid, with interest, from date of payment, and such sums as he has paid for taxes, and where he has been in possession, he is entitled to the reasonable value of improvements made on the land in good faith, less the value of his use and occupation of the premises.93

Substantial damages for a failure or refusal to convey includes a loss occasioned by a rise in the value of the land, and ordinarily the measure of damages is based on the value of the land at the time of the breach of the contract.94

90. French v. Bent, 43 N. H. 448; Radford v. Wilson, 2 Bosw. (N. Y.) 237.

91. Hammond v. Hannin, 21 Mich. 374.

92. Allen v. Atkinson, 21 Mich. 351.

93. Bartlett v. Smith, 146 Mich. 188; Cox v. Holkeboer, 200 Mich. 86.

94. Dikeman v. Arnold, 71 Mich. 656.

Where the purchaser brings an action for the false and fraudulent representations of the vendor in regard to the character or quality of the land, the measure of damages is the difference between the value of the premises had they been as represented and what they are actually worth.95