If a Supplier Failed to Honour a Contract to Supply

question 165

Multiple Choice

If a supplier failed to honour a contract to supply parts to Mr. Matheson and the court finds the supplier in breach of contract, which of the following would be incorrect with respect to how the court determines the amount of money to award to Matheson?

• A) Liquidated damages must be an honest attempt by the parties to pre-estimate damages.
• B) The victim of the breach must take all reasonable steps to keep those damages as low as possible.
• C) The supplier would not be responsible for any unusual losses lost by Mr. Matheson because of some special use not told to the supplier.
• D) If a deposit is involved, the damages will be restricted to that deposit.
• E) The supplier is responsible for all damages suffered by Matheson.

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Definitions:

Economic Inequality

is the unequal distribution of income, wealth, or economic resources among individuals, groups, or communities within a society.

Ownership and Control

The legal rights to possess, use, and manage property or assets, and the power to oversee its functioning and usage.

Horizontal Integration

A strategy where a company acquires, merges with, or takes over another company in the same industry at the same stage of production.

Media Regulation

The control or guidance by governmental or independent bodies over various types of media content and distribution.