Joe Agreed to Buy a Car from Sam at Sam's

question 21

Essay

Joe agreed to buy a car from Sam at Sam's Used Car Lot for $10,000 with a $100 deposit. The next day, before he took delivery, he changed his mind and refused to go through with the deal. Sam kept the deposit and sued Joe for breach of contract. Indicate what kind of remedy he would be entitled to.

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Definitions:

Equilibrium Price

The price at which the quantity of goods supplied matches the quantity of goods demanded, leading to market stability.

Oligopoly

A market structure characterized by a small number of firms whose decisions affect and are affected by each other, leading to strategic behavior.

Automobile Manufacturing

The industry and process involved in the design, development, production, marketing, and sale of motor vehicles.

Cotton Farming

The agricultural practice of cultivating the cotton plant for its fibers, which are harvested and processed into textile products.