John agrees to supply 1000 pounds of feed to Farmer Johnson for $4 per pound. John receives payment, but forgets to ship the feed. After purchasing the feed elsewhere for $5,000, Farmer Johnson sends a demand letter which demands the refund of his $4,000, reimbursement of the $,5000 cover, and $40,000 in punitive damages. What is Farmer Johnson actually entitled to receive?

A) a refund of his $4,000 B) a refund and the punitive damages
C) everything he is asking for D) payment of the $5,000 cover amount

Harry agrees to supply his special pink lemonade to a carnival vendor for $12,000, 50% payable when the contract is signed, and the other 50% when the carnival is ended. The carnival advertises as follows: "Come and taste the best lemonade ever squeezed out of a lemon: Harry's Pink Lemonade!" The day before the carnival, Harry notifies the carnival vendor that he is getting out of the lemonade-making business and can't fulfill his contract. "Here's your money back," he says, putting a $6,000 check on the vendor's desk. "Go find yourself another supplier."


D

Legal Studies & Paralegal

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