A seller can recover lost profits in a case where damages measured by the difference between contract price and market price would not put the seller in the same position as the performance of the contract would have.

Question

Quizplus · Accepted Answer

This is because the measure of damages that is based on the difference between contract price and market price only compensates the seller for the loss of profit as a result of the buyer's breach of contract. However, if the seller can demonstrate that damages based on this measure would not put them in the same position as if the contract had been performed, the seller may be entitled to recover lost profits.

A Seller Can Recover Lost Profits in a Case Where