Sharon refused to accept the shirts, and Jane then sued for the purchase price. Is she entitled to the purchase price? If not, is she entitled to any damages? Explain.
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Sharon contracted with Jane, a shirtmaker, for one thousand shirts for men. Jane manufactured and delivered five hundred shirts, which were paid for by Sharon. At the same time, Sharon notified Jane that she could not use or dispose of the other five hundred shirts and directed Jane not to manufacture any more under the contract. Nevertheless, Jane proceeded to make up the other five hundred shirts and tendered them to Sharon. Sharon refused to accept the shirts, and Jane then sued for the purchase price. Is she entitled to the purchase price? If not, is she entitled to any damages? Explain. |
Explanation
The purchase price for Items S could not be recovered by Individual J because of already having a timely knowledge about the cancellation of the manufacturing of Items S by Individual S.
The actual damages are not recoverable but Individual J is eligible for some compensatory damages. This is because Individual J didnot request Individual S to compensate for the damage for stopping the Items S manufacturing immediately.The amount of damages recoverable to Individual J depends on proving unreasonable damages causation by the Individual S.
Verified Answer
Individual J is not eligible to recover the purchase price of the Items Sbecause Individual S has already informed Individual J not to manufacture additional Items S.
Individual J can claim compensatory damages because the actual damages were not claimed at the time when Individual S requested to stop the manufacturing of Items S. Individual S has evidence to prove the same.
