COMPARATIVE BUSINESS LAW & ETHICS

2. National Drilling Company ships its only pump to American Hydraulics Corporation, the manufacturer, for repair. National hires Overland Transport to take the pump to American Hydraulics and to return the repaired pump to National as soon as the repair is complete. Nation is forced to suspend operations without a pump, but Overland does not know this. National expects to be without the pump for five days and to lose profits of $5,000. The pump is repaired, but Overland does not return the pump to National. When the pump is not returned by the end of the fifth day, National rents a pump at a cost of $100 per day. Overland delays five more days before returning the pump. National files a lawsuit against Overland, asking for compensatory, consequential, and punitive damages. Please answer this question using the instructions in the introductory comments to Part 3. a) Will National recover? If so, for which types of damages. Please address each type of damage separately. b) If not, why? (Parts a and b can be answered together.)