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Nichole was the owner of Nicho Manufacturing Incorporated ( NMI ) , which produced car tires. They averaged $ 5 0 0 , 0 0

Nichole was the owner of Nicho Manufacturing Incorporated (NMI), which produced car tires. They averaged $500,000 in profits per month. NMI contacted American Manufacturing Equipment (AME), which produced the main machine that made their tires, and told them that their current AME tire manufacturing machine was about to break down and she needed a new one. Nichole advised them things needed to be done quickly because $500,000 in profits a month were at stake. Martha, the CEO of AME, assured Nichole that they would have a new machine out to her company within two weeks. The machine was worth $700,000 and that was the contract price for the machine that AME promised to deliver. Martha later contacted Nichole and told her they would not be able to deliver the promised machine. NMIs machine then broke down, and Nichole had to purchase a machine from a competitor of AME, and paid a premium for the rush" as it read better. order, the competitors machine cost NMI $800,000. NMI was down for one-month total as a result of AMEs breach and as a result lost $500,000 in profits. What type of damages can Nichole recover?
Multiple Choice
$100,000 compensatory, $500,000 consequential
$600,000 consequential
$100,000 consequential, $500,000 compensatory
No damages, as AME did not intentionally defraud NMI.

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