Acme Aviation (AA) entered into an agree- ment with the Express Deliveries (ED) to fly packages for ED on an "as needed" basis. The agreement was for three years. After the first year, Acme Aviation was not making any money on this agreement and notified Express Deliveries that it would no longer honor the agreement. Express Deliveries was forced to find another company to fly the packages that previously would have been flown by Acme. Express Deliveries claimed that the cost of the new carrier added

$250,000 a year to its expenses. Four years after Acme Aviation defaulted on the contract, Express Deliveries filed for bankruptcy.

In a subsequent lawsuit, Express Deliveries sued Acme Aviation for $6 million, claiming that the AD’s default on the delivery