Digital Video Company contracts to sell DVD players to E-lectric Stores,Inc.Digital Video ships nonconforming goods,which E-lectric accepts.E-lectric can recover damages equal to the difference between
A)E-lectric's sale price and the contract price.
B)the contract price and the value of the goods as promised.
C)the value of the goods as promised and their value as accepted.
D)the value of the goods as accepted and E-lectric's sale price.

Question

Quizplus · Accepted Answer

If E-lectric accepts the non-conforming goods shipped by Digital Video, they are entitled to recover damages equal to the difference between the value of the goods as promised and their value as accepted. This means that E-lectric can recover the amount that they lost due to the non-conforming goods that were shipped. Option A is incorrect because it refers to E-lectric's sale price, which is not relevant to the damages calculation. Option B is incorrect because it suggests that the difference should be between the contract price and the value of the goods as promised, but the damages are based on the value of the goods at acceptance. Option D is incorrect because it refers to E-lectric's sale price, which is not relevant to the damages calculation.

Digital Video Company Contracts to Sell DVD Players to E-Lectric