Question
[B]Witham tendered successfullyforthe supplyofcoal totheGreatNorthern overa periodon oneyear. Inhistender,Withamundertooktosupply such quantitiesasGreatNorthern may orderfrom time to time. Assumethat thetenderwasonFeb15,thewinnerwasannounced on March15andtheobligations pursuanttothetenderbeganonApril1. Suppose that onJune1, WithaminformedGreatNorthernofintenttoopt
[B]Witham tendered successfullyforthe supplyofcoal totheGreatNorthern overa periodon oneyear. Inhistender,Withamundertooktosupply such quantitiesasGreatNorthern may orderfrom time to time. Assumethat thetenderwasonFeb15,thewinnerwasannounced on March15andtheobligations pursuanttothetenderbeganonApril1. Suppose that onJune1, WithaminformedGreatNorthernofintenttoopt out and 3 days later Great Northern received the registered letter to that effect.SupposethatGreatNorthernplaced the followingordersonWithamonthefollowingdates:
DateofOrder Coal (tons)
April12 | 25,000 |
May3 | 75,000 |
June 18 | 45,000 |
June 30 | 100,000 |
July 15 | 95,000 |
August 12 | 65,000 |
Sept5 | 85,000 |
Sept 15 | 35,000 |
Oct 8 110,000
If inthetenderthe optoutnoticeperiodis stipulated as45daysfromdateof the receiptby thetenderawarder as evidenced by return receipt:
[1]On whatdatewillobligationsofthe tenderawardeeceasepursuantto theopt out? ___________(date) [ILO A1] (1 marks)
[2]Howmanytons willthetenderawardeebeobligated to supplythetenderawarder? ____________(number) [ILO B2] (1 marks)
[3]Assumethatthetenderawardersupplied nocoal to thetenderawardeeandplans tosue thetenderawarder.Howmuchordinarydamages isthetenderawarderlikelytobeawarded if, in 1873,thepriceofanthracitecoal inthemarket (PM)was $4.27 butin thetender thepricewasstipulated contractprice (PK)of $4.02for thatyear.
Indicate the formula for ordinary damages (DO) = _______________________ [ILO A1] (1 marks) DO=$_______________(number) [ILO B1]
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