Asked by
Yealin Santiago
on Dec 19, 2024
Verified
Food Court Inc. leases space to Gourmet Café. Gourmet abandons the premises when the amount of the rent due on the lease is $5,000. Food finds a new tenant, Hasty Bowls, which agrees to pay $3,500 for the space over the remainder of Gourmet's term. Food's measure of damages is
A) $5,000.
B) $1,500, minus any expenses reduced by mitigating the damages.
C) $1,500, plus any additional expenses to find the new tenant.
D) $6,500.
Mitigating Damages
Actions taken to reduce the severity or impact of damages, typically in the context of legal disputes or property damage.
Rent Due
The amount of money that must be paid by a tenant to a landlord for the use of a property or space at specified intervals.
New Tenant
An individual or entity that has recently entered into a lease agreement for a property.
- Familiarize with the concepts and rationales for applying compensatory damages in contract breach situations.
- Differentiate between compensatory damages, punitive damages, and nominal damages.
Verified Answer
AA
Learning Objectives
- Familiarize with the concepts and rationales for applying compensatory damages in contract breach situations.
- Differentiate between compensatory damages, punitive damages, and nominal damages.