Melvin is an entrepreneur. He buys toy figur

ines based on a character called

"Swordsman" from an overseas supplier, and he subsequently sells them locally for a

profit. As this figurine was issued as a limited edition item, it was highly sought after by

collectors and had significant resale value.

Yolanda owned a local hobby shop. She decided to buy 200 pieces of the Swordsman

figurines (at the price of $100 per figurine) from Melvin as she could not find any other

local suppliers. She excitedly told Melvin that she intended to sell 10 pieces of the

figurines to a special customer of hers who was willing to pay her $500 per figurine. As

part of the contractual agreement between Melvin and Yolanda, Melvin agreed to deliver

the figurines to Yolanda by the end of the month.

However, Melvin failed to de

liver the figurines to Yolanda by the stipulated timeline. He

claimed that he had some personal issues with the overseas supplier and was trying to

sort it out. Yolanda was very unhappy about the failure in delivery. Her special customer

could not wait indefinitely for the items and decided to cancel the order with Yolanda.

This loss of the special order will cause Yolanda to lose an estimated $4,000 in profits.

During this period, the resale value of the Swordsman figurine in the secondary market

has also

appreciated significantly, and it is now valued at $200 per piece. If Yolanda had

managed to sell all the remaining 190 figurines (from her order with Melvin) to her walk

-

in customers, she would have made $19,000 in profits from these walk-

in sales.

Exam

ine

and discuss the

four (4)

aspects of damages which Yolanda

should

consider if

she wishes to claim against Melvin for

(i) the loss of profits from her deal with her special

customer and (ii) the loss of profits from her walk

-in customers, due to Melvin's

failure

to deliver the figurines

. In your answer, you should also conclude with your view on

whether Yolanda

is likely to succeed in her claim

.