Kemesia Boota Ward signed a contract on February 17, 2010, to hold her wedding reception at the Deauville Hotel on July 9, 2010. (The wedding ceremony was being held elsewhere.) Renting the ballroom space alone costs \($15,000;\) however, Kemesia chose to enter a “food and beverage contract,” meaning she paid for food and beverage totaling \($12,985.65\) and received use of the ballroom for the event without additional charge. The contract stated, “HOTEL’S CANCELLATION: If Hotel cancels this Agreement or is unable to provide the requested space, the Hotel will work with [the customer] to arrange alternative space at the prices set forth herein. Hotel will arrange for comparable space in the same vicinity of the Hotel and shall provide, without charge, necessary transportation between the alternative site and the Hotel. Hotel’s liability is limited to these remedies, and Hotel shall not be liable for any consequential, punitive, or special damages.”
Nine days before the planned wedding, the City of Miami Beach shut down all of the hotel’s ballrooms due to building code violations and unsafe conditions. The hotel tried to negotiate with the city to keep the ballrooms open, but to no avail. The hotel did not inform Ms. Ward of the situation until a few hours before the wedding. The reception was held in the hotel lobby. Other guests of the hotel walked through the reception, some in bathing suits and bikinis; tables and guests were crammed because the space was too small; and the disc jockey’s music was too loud for the venue. The bride was embarrassed and cried uncontrollably. She later sued for breach of contract. Was this a material breach of contract? If so, what should be included in the damages? The \($15,000\) normally charged as a ballroom rental cost? The \($12,985.65\) for food and beverage costs? The \($9,500\) spent on flowers, linens, photography, entertainment, transportation, and cake paid to other vendors?