EXERCISE $4$

This exercise is about breach of contract.

Green Company has a contract with Red Company to buy $400$ golf balls, to be delivered to Green Company on July $16.$ The contract states that "time is of the essence." On July $18,$ Red Company delivers the $400$ golf balls to Green Company. Green Company refuses to accept the golf balls because of the delay and sues Red Company for breach of contract.

How should the judge rule?

A$.$ For Green Company, because the late delivery of golf balls constituted a material breach.

B$.$ For Red Company, because the delivery was only two days late.