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Dave Was Contractually Required to Deliver a Widget to Pam

Question 14

Multiple Choice

Dave was contractually required to deliver a widget to Pam by July 1.He failed to do so.At that point,Pam predicted that she would suffer a loss of $100 000 during the next six months because her factory cannot operate efficiently without a widget.Which of the following statements is TRUE?


A) Because she is under a duty to mitigate,Pam cannot receive any damages unless she purchases a widget from another supplier.
B) Because she is under a duty to mitigate,Pam must do everything possible to acquire a widget from another supplier.
C) Because he is under a duty to mitigate,Dave will be held liable for $100 000 unless he takes reasonable steps to help Pam purchase a widget from another supplier.
D) Because Dave is under a duty to mitigate,the damages that he must pay will be reduced to the extent that he reasonably spends money trying to help Pam purchase a widget from another supplier.
E) Because she is under a duty to mitigate,Pam will be denied damages to the extent that she could reasonably avoid a loss flowing from Dave's breach.

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