Farley and Trudy enter into a written contract whereby Farley agrees to sell and Trudy agrees to

Question:

Farley and Trudy enter into a written contract whereby Farley agrees to sell and Trudy agrees to buy six thousand bushels of wheat at $10.33 per bushel, deliverable at the rate of one thousand bushels a month commencing June 1, the price for each installment being payable ten days after delivery thereof. Although Farley delivered and received payment for the June installment, he defaulted by failing to deliver the July and August installments. By August 15, the market price of wheat had increased to $12.00 per bushel. Trudy thereupon entered into a contract with Albert to purchase five thousand bushels of wheat at $12.00 per bushel deliverable over the ensuing four months. In late September, the market price of wheat commenced to decline and by December 1 was $9.25 per bushel. Explain whether Trudy would succeed in a legal action against Farley for breach of contract.

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Smith and Roberson Business Law

ISBN: 978-0538473637

15th Edition

Authors: Richard A. Mann, Barry S. Roberts

Question Posted: