Asked by Willis Sands on May 11, 2024
Verified
Wonder Widgets agrees to sell Bill Buyer 10,000 of its "Grade A" widgets at a price of $3 per widget.After Wonder breaches the contract by failing to deliver,Bill buys substitute widgets at a price of $3.20 per widget.For this purchase,Bill incurs $200 in reasonable expenses and saves $100 in shipping expenses.Bill then sues Wonder for $2,200.What,if anything,can Bill actually recover?
A) Nothing
B) $200
C) $2,100
D) $2,200
Reasonable Expenses
Costs that are necessary and appropriate for completing a task or project, considering the circumstances.
Substitute Widgets
Alternate or replacement products used in place of original items in various applications.
- Assess damages and execute remedial actions in instances of non-compliance with sales contracts.
Verified Answer
RM
Richard MummaMay 14, 2024
Final Answer :
C
Explanation :
If the buyer does purchase substitute goods,the buyer can recover as damages from the seller the difference between the contract price and the cost of the substitute goods.The buyer can also recover any incidental damages sustained,but must give the seller credit for any expenses saved.
Learning Objectives
- Assess damages and execute remedial actions in instances of non-compliance with sales contracts.