On April 1ˢᵗ Ken Entered into a Contract with John

question 41

Multiple Choice

On April 1ˢᵗ Ken entered into a contract with John to buy a rare 1983 L3 Corvette (the only one ever built) for a price of $500 000 to be picked up on April 15.On that same date,Ken paid a deposit of $100 000 with the balance due upon delivery.In preparation for the transportation of the Corvette,Ken spent $50 000 on a special cargo container.On April 5,the Arab Prince Alwaheed offered John $1 million for the Corvette,stating that the Corvette is worth at least $750 000 and to sell it for $500 000 would be foolish.John sold the Corvette to Prince Alwaheed and is refusing to release the vehicle to Ken.Ken's best course of action is to

• A)sue for reliance damages in the amount of $150 000.
• B)sue for expectation damages in the amount of $500 000.
• C)sue for expectation damages in the amount of $1 million.
• D)sue for reliance damage in the amount of $150 000 and expectation damages in the amount of $350 000.
• E)sue for specific performance.

---

Definitions:

Debt

An obligation that requires one party, the debtor, to pay money or other agreed-upon value to another party, the creditor.

Charleston

A historic city in South Carolina, known for its rich history, well-preserved architecture, and as a pivotal site in both the American Revolution and Civil War.

Richest City

A city characterized by a high level of economic wealth, typically measured by gross domestic product (GDP) per capita, high average incomes, and a high standard of living.

British North America

The term given to British colonies in North America, mainly consisting of Canada and the Caribbean, before their independence or formation into present-day countries.