Assume Sandra ordered a cake for her sister's wedding from CakeLike. She insisted through the contract that she needs the cake delivered on the day before the wedding. But CakeLike failed to deliver it even on the wedding day. Also, Sandra was unable to find another alternative cake for the day. In this scenario, Sandra can recover consequential damages caused by CakeLike by showing that _________.Multiple choice question.the contract price was higher than the cost price of the substitute goodsCakeLike made profits out of the sales contractCakeLike knew about the potential damages in case of nonperformance of its obligationsSandra could have prevented damages by obtaining substitute goods
Question
Assume Sandra ordered a cake for her sister's wedding from CakeLike. She insisted through the contract that she needs the cake delivered on the day before the wedding. But CakeLike failed to deliver it even on the wedding day. Also, Sandra was unable to find another alternative cake for the day. In this scenario, Sandra can recover consequential damages caused by CakeLike by showing that _________.Multiple choice question.the contract price was higher than the cost price of the substitute goodsCakeLike made profits out of the sales contractCakeLike knew about the potential damages in case of nonperformance of its obligationsSandra could have prevented damages by obtaining substitute goods
Solution
Sandra can recover consequential damages caused by CakeLike by showing that CakeLike knew about the potential damages in case of nonperformance of its obligations.
Similar Questions
An injured buyer can recover consequential damages from a seller by showing that: ________.Multiple choice question.the seller knew (or should have known) she could have prevented damages by obtaining substitute goodsthe seller made (or should have made) profits out of the sales contractthe contract price is higher than the cost price of the substitute goodsthe seller knew (or should have known) the buyer would suffer damages if the seller failed to perform
Amelie, the owner of a bakery, is contracted to bake and deliver a wedding cake by Amanda for her wedding. However, Amanda decides to call off the wedding a day before the wedding day and cancels the order of the cake. Since the cake is ready and Amanda refuses to pay for it, Amelie sues her. In this scenario, Amelie must:Multiple choice question.resell if someone else offers to buy it.sell the cake to Amanda at discounted price.refuse the cake to Amanda even if she agrees to pay.not hold the cake for Amanda.
If a buyer purchases substitute goods due to the seller's refusal to deliver the contracted goods, she can recover _________.Multiple choice question.separately the contract price and the cost price of the substituted goodstwice the cost price of the substitute goods from the sellerthe difference between the contract price and the cost of the substitute goods from the sellertwice the contract price from the seller
_________ means that a buyer can require a seller to give the buyer the goods covered by the contract.Multiple choice question.Nondelivery damagesSpecific remediesSpecific performanceSpecific damages
If the difference between the contract price and the market price would not put the seller in as good a financial position as the seller would have been in if the contract had been performed, the seller can ________. (Choose three correct answers.)Multiple select question.recover lost profitrecover emotional damagesrecover overheadget compensated for incidental damagesdecline credit to buyer for expenses saved
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