Cooper's Brakes,Inc. ,enters into a contract with Byron's Service to fix Cooper's hydraulic equipment.Byron delays the repair for five days,aware that Cooper loses a certain percentage of profit each day.An award to Cooper of consequential damages would
A)establish,as a matter of principle,that Byron acted wrongfully.
B)provide Cooper with funds for a foreseeable loss beyond the contract.
C)provide Cooper with funds for its loss of the bargain.
D)punish Byron and set an example to deter others from similar acts.

Question

Quizplus · Accepted Answer

Consequential damages are damages that arise as a foreseeable result of a party's breach beyond the terms of the contract. In this case, Cooper's loss of profits due to the delayed repair is a foreseeable result of Byron's breach of the contract. Therefore, an award of consequential damages will provide Cooper with funds for a foreseeable loss beyond the contract.