Asked by
Victoria Guardiola
on Nov 21, 2024
Verified
A seller who sells goods to another buyer after the original buyer breaches the contract, may receive which of the following damages?
A) The difference between the resale price and the contract price, plus incidental damages and minus expenses saved.
B) The difference between the resale price and the contract price only.
C) The difference between the resale price and the contract price minus expenses without any allowance for incidental damages.
D) The difference between the resale price and the contract price, plus incidental damages, with no deduction for expenses saved.
E) Damages are not available because a seller has no rights to resell goods when the original buyer is in breach. The remedy is a suit for damages.
Incidental Damages
Compensation for reasonably associated losses that occur as a direct result of a breach of contract or injury.
Resale Price
The price at which an item is sold again to the public, after being purchased from the original seller.
Contract Price
The total amount of money agreed upon for the sale of goods or services in a contractual agreement.
- Distinguish between different types of damages (consequential, incidental, and remedial) and their applicability in breach of contract cases.
Verified Answer
SS
Learning Objectives
- Distinguish between different types of damages (consequential, incidental, and remedial) and their applicability in breach of contract cases.