Dave Was Contractually Required to Deliver a Widget to Pam

question 9

Multiple Choice

Dave was contractually required to deliver a widget to Pam by July 1.He failed to do so.At that point, Pam predicted that she would suffer a loss of $100 000 during the next six months because her factory cannot operate efficiently without a widget.Which of the following statements is TRUE?

• A)Because she is under a duty to mitigate, Pam cannot receive any damages unless she purchases a widget from another supplier.
• B)Because she is under a duty to mitigate, Pam will be denied damages to the extent that she could reasonably avoid a loss flowing from Dave's breach.
• C)Because he is under a duty to mitigate, Dave will be held liable for $100 000 unless he takes reasonable steps to help Pam purchase a widget from another supplier.
• D)Because Dave is under a duty to mitigate, the damages that he must pay will be reduced to the extent that he reasonably spends money trying to help Pam purchase a widget from another supplier.
• E)Because she is under a duty to mitigate, Pam must do everything possible to acquire a widget from another supplier.

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