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Business, 15.04.2020 03:22 jameslinimk

Alpha Engineers, Inc. needs a drill to continue its operations and orders one from Mining Supplies Company for a cost of $1,500. Alpha tells the supplier that it must receive the drill by Tuesday or it will lose $5,000 (the profit for a job they have scheduled on Tuesday). The supplier agrees to have the drill to Alpha Engineers by Monday. Mining Supplies ships the drill late and it does not arrive by Tuesday. Alpha sues for breach of contract.
Alpha can recover:

a) nothing because breach of contract damage awards are limited to compensatory damages only.
b) $5,000, because this amount was foreseeable as a direct result of the breach of contract, consequential damages.
c) $1,500, because they should not have to pay for the drill due to the breach.
d) None of the above.

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