Foundations of law, Business Law and Ethics

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Mr. D is a professional basketball player who orders some shoes through the mail. The mail order house promises all customers delivery within 30 days of receiving the order. Mr. D's shoes do not get delivered to him on time; as a result, he has to wear ill-fitting, uncomfortable shoes in the NBA-championship game. Because his feet hurt him, he does not perform well and his team loses the game. Can he sue the mail order house for the $10 million in endorsements he loses by not having the right pair of shoes?

Wilson enters into a contract to buy an automobile for $20,000 from Z co., a dealer. Wilson subsequently backs out of the contract. Z Co. then sells the vehicle to Thompson for $19,000. Z Co, sues Wilson for breach of contract. During the trial, an accountant reports that the "cost" of the vehicle to Z Co. was $16,000. However, on cross-examination this witness testifies that of the $16,000, $2,000 are fixes costs (i.e. costs which must be paid by the dealer regardless of how many vehicles it sells) What is the amount of damages that Z Co. should recover from Wilson? Suppose alternatively that:

(A) The evidence shows clearly that Mr. Thompson would have bought another similar vehicle from Z Co. if the vehicle which Mrs. Wilson agreed to buy had not been available.
 
(B) The Vehicle was a one-of-a-kind gullwing Mercedes. If Z co. had not had this car available, Thompson would have not purchased anything.


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