Three years ago you decided to open up your own business designing, manufacturing, and selling handbags and clothing accessories. Six months ago, one of your current clients places their biggest order ever for 25,000 handbags. They are a national retail chain and are planning on selling the handbags in all of its retail locations. As part of the contract, you are required to deliver the handbags to their centralized warehouse by October 15th. Based on this order you have had to purchase more material, hired additional employees, purchased additional equipment, and expanded your factory space. Last night the client calls you and tell you they only need 10,000 of the handbags, and that they will not accept the full order of 25,000 handbags.

Question

Based on the above facts, do you believe you have suffered any damages? If so, what might those damages be, and what additional information or facts may you need to determine the amount if any, damages you suffered? Please try to be as creative as possible when identifying what additional facts you would like to know. You will receive 5 points for your answer and 5 points for your comments on your classmate's answers.

Answer rating: 100% (QA)

Yes The reduction of order quantity is a breach of contract terms and the bag manufacturing company ... View the full answer