assignment 4 - only have one pump 2 In my opinion Karla is...

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Business Law 201 Professor Isler Spring 2007 Assignment 4 ID #: G00735866 1. I think that National will not recover from Overland The reason: On the surface, National would recover damage from Overland. Their reason is that it have made a contract which one of them has broken--- Overland delayed to send back the pump in time, and the delay caused National’s extra expense. However, National will not recover from the damage because it ignored an important point of consequential damages, which are foreseeable damages that result from a party’s breach of contract. In the consequential damages, the much important is reasonably foreseeable. According to the court to collect consequential damages, the plaintiffs (National) would have to have given express notice of the special circumstances that caused the loss of profits. In this case, National is forced to suspend operations with a pump, but Overland does not know this. In a word, National will not recover consequential damages from Overland due to failing to tell Overland they
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Unformatted text preview: only have one pump. 2. In my opinion, Karla is liable for Leroy’s extra expenses in providing for the hogs. The reason: A breach of contract entitles the nonbreaching party to sue for money (damages). In this case, Leroy should take possession to the farm on May 1 after contracting with the seller Karla, but Karla did not vacate the farm until Sep. 15, and she breached the contract. So, Leroy should get recovery on consequential damages about the expense of buying hogs from Karla because Karla has known that Leroy bought the hogs. Based on sale of land on compensatory damages, a minority of states follow a different rule when the seller breaches the contract and the breach is not deliberate. In this situation, these states allow the prospective purchaser to recover any down payment plus any expenses incurred. In this case, Leroy should get recovery from Karla about the expense of hogs though Karla did not breach the contract on purpose....
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