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The duty to mitigate damages is most traditionally employed in the areas of tort and contract law. The duty to mitigate refers to a party's obligation to make reasonable efforts to limit the harm they suffer from another party's actions.Mitigating damages is a legal term that refers to a victim's obligation to do everything in their power to minimize their injuries. 4. If the project is not completed within 24 months after the expiration of the last Building Permit, a new COA shall be required to complete the work. 17.74. Mitigating damages means taking positive, proactive steps to reduce the total amount of harm that the victim suffers because of the accident. Corporates, bank loans, collateralized loan obligations, and non-U. After the intro APR offer ends, 17. CNET Money's mission is to help you maximize your financial potential.