Restitution refers to a legal remedy that requires a defendant to pay back the damage caused, both to the state and to the victim. It is a monetary award that is designed to restore the injured party to the economic position they occupied at the time the contract was entered or designed to prevent the breaching party from being unjustly enriched. Restitution can be ordered for lost income, property damage, counseling, medical expenses, funeral costs, and other losses incurred due to the offenders crime.
In civil cases, restitution is associated with unjust enrichment, and the amount of recovery is typically based on the defendants gain rather than the plaintiffs loss. In criminal cases, it is a full or partial compensation for loss paid by a criminal to a victim that is ordered as part of a criminal sentence or as a condition of probation. The court may order a defendant to pay an amount equal to each victims actual losses, usually the value of the principle or property fraudulently obtained. Restitution payments received by the United States will be processed and disbursed to victims by the Clerk of the applicable United States District Court.
