On April 6 you hear Staples has already sold out all Alpha&Omega Chairs it ordered (via customer pre-order) and that there is a waiting list of customers for more chairs. You are a little worried, however, as you have just received a phone call saying that your leather supplier, LL Inc. will not be able to send you any leather as per your agreement, due to a local shortage. Without the leather by April 30, you know you cannot fill Alpha&Omega's order for Staples by May 30, putting you in a breach of contract situation.

In a point form analysis, list what provisions your contract has for this situation, if at all, and what you think would happen in these circumstances. Even if you do not have any clauses covering this situation in your purchase agreement, provide a clause that could have covered off this risk for Alpha&Omega.

Finally, what should you do now (based on your contractual situation)?