Lets assume now that a party has breached a contract. In this part of the course project, you will analyze various scenarios in which a breach has occurred and indicate what remedy a court is likely to award the non-breaching party.

1. Directions:

• Analyze each scenario in which a party has breached a contract.
• Identify the remedy you believe a court is likely to award the non-breaching party and draft a short response explaining your reasoning.

Contract Scenario 1:

A farmer decides to stop planting wheat on his fields in favor of a different crop and signs a contract to sell his wheat thresher to a neighbor for $20,000. Before the purchase is scheduled to close, the farmer changes his mind and tells the other party, So go ahead and sue me. The other party does.

1. Assume the fair market value of the thresher is $21,000, based on listings for similar threshers on eBay. Also assume the prospective purchaser wins his lawsuit for breach of contract. What amount of damages is the court likely to award and why?

2. Now assume the fair market value of the thresher is $19,000. What is the amount of damages and why?