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Merrick is a publisher. One of his printing presses breaks and he needs to purchase a new gasket for the machine. Without the gasket he

Merrick is a publisher. One of his printing presses breaks and he needs to purchase a new gasket for the machine. Without the gasket he cannot print his magazine and as a result he is losing profits everyday the machine does not work. Merrick calls Martha and orders a gasket. She verbally agrees to supply the part in 2 days for $200. On the second day, Martha tells Merrick she unfortunately cannot get the part for another two weeks.

Merrick finds another supplier and pays $300 for the part. Because of Martha's breach, his presses were down for an additional three days.

Merrick sues for $100 plus all of the lost profits from those extra days the presses were down. Martha agrees to pay the $100 but contests the lost profits.

What is Martha's best defense against paying for the lost profits?

a.

Those damages were not a foreseeable result of the breach

b.

There was no injury because Merrick received the part from another supplier

c.

Lost profits are never recoverable in a breach of contract lawsuit

d.

Merrick cannot sue for breach of contract because the agreement was not in writing

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