If the seller refuses to deliver the goods called for in the contract,and the buyer purchases substitute goods,the buyer can recover as damages from the seller the difference between the contract price of the goods and the cost of the substitute goods.

Question

Quizplus · Accepted Answer

This is a correct statement of the principle of damages that allows a buyer to recover the difference between the contract price and the cost of substitute goods when the seller breaches the contract by failing to deliver the specified goods. This is known as the cover or replacement cost measure of damages, which is designed to put the buyer in the same position as if the contract had been performed. However, there may be limitations or exceptions to this rule in certain circumstances, such as when the buyer's decision to purchase substitute goods was unreasonable or caused by the seller's conduct.

If the Seller Refuses to Deliver the Goods Called for in the Contract,and