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Chpt 24 BUS Law

Kubasek Dynamic business Law Chapter 24

QuestionAnswer
Consequential damages Ina contract, Foressable damages that result for special facts and circunstances arising outside the contract itself. The damages must be within the contemplation of the parties at the time the breach occurs. also called special damages.
Cover A Buyer's right to substitute goods for those due under sales or lease agreement when the seller provides nonconforming goods.
Liquidated Damages damages specified as a term of the contract before a breach of contract occurs.
Specific Performance An order of the court requiring that a nonbreaching party fulfill the terms of the contract.
Goal of contract remedies Is to give the paties the benefit of the bargain they struck, and nothing more.
Remedies available Buyer/Lessee Cancel the contract Withhold delivery sell or dispose of the goods sue to recover claim liquidated damages stop delivery Reclaim the goods
Remedies available Seller/lessor Cancel the contract Obtain cover sue to recover damages recover the goods obtain specific performance reject nonconforming goods. Revoke acceptance accept the nonconforming goods and seek damages
Limitations to remedies Parties to sales and lease contracts are allowed to modify or limit remedies. Court uphold modifications or limitations to remedies unless the remedies fail in their essential purpose.
Created by: tinafici
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