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Hadley vs. Baxendale

Course: ECON 4040, Fall 2007
School: Cornell
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Econ 404 12/11/2007 rmf34 Hadley vs. Baxendale Judge(s): Multiple, Alderson, B. Court: (Location, Date): England, Feb 1854 Plaintiff: Hadley Case Summary: Hadley Owned <a href="/keyword/steam-engine/" >steam engine</a> , it was used to run a profitable mill, driveshaft broke, wanted it replaced shipped it via Baxendale, specified hasty shipping, and the drive-shaft sat...

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Econ 404 12/11/2007 rmf34 Hadley vs. Baxendale Judge(s): Multiple, Alderson, B. Court: (Location, Date): England, Feb 1854 Plaintiff: Hadley Case Summary: Hadley Owned <a href="/keyword/steam-engine/" >steam engine</a> , it was used to run a profitable mill, driveshaft broke, wanted it replaced shipped it via Baxendale, specified hasty shipping, and the drive-shaft sat around for 5 or so days, Hadley sued Baxendale for lost profits. Originally Baxendale was told to pay 25 <a href="/keyword/british-pound/" >british pound</a> s in damages to Hadley. Then a new case is argue for, basically saying that lost profits cannot come into play when calculating damages, because they could have had another shaft on hand, it was possible that more than the driveshaft was broken, Defense: Baxendale Verdict: New Trial Law and Economics Notes:
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