MCs Contracts - -Consequential damages must be foreseeable...

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
Becker travels from fair to fair, selling hot air balloon rides. In Scranton, PA, one of balloons is substantially damaged. She ships it to Combustion, Inc. in Ohio. They notify her that repairs will cost $5,000 and they’ll have it back to her on May 10. On May 1, she learns that Combustion has destroyed the balloon. She has lost $8,000 in revenues from the rides on the balloon. The balloon would have been worth $40,000 of properly repaired. What are her damages at this point? a. $48,000 b.$43,000 c.$40,000 d.$35,000 -Consequential damages not included, no mention of revised restatement -Contract price of $5,000 and market price of balloon $40,000 -Lost revenue is applied to consequential damages -Put the person in as good a position as would have been if contract was performed
Background image of page 1
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: -Consequential damages must be foreseeable at the time of contracting; nothing in facts to indicate that it would be foreseeable-some express term must show that it was foreseeable D is correct Mendez contracts with JJ Flying Service to dust her orange groves with insecticide for $2500. JJ makes a serious mess of it, spraying the neighbors commercial vegetable crops instead of her groves. She finds someone who will spray her crops for $2300, but she is liable to her neighbors for $5000 in damages. What are her damages against JJ? a. $5200 b.$5000 c.$4800 d.$200 $5000 is incidental damages She made $200 by not having to pay the $2500 and only paying $2300 C is the correct answer...
View Full Document

Ask a homework question - tutors are online