Question

Read the following scenario and answer the question in 5-10 sentences.

You are the founder and CEO of Home Water Designs, Inc., a company that custom designs and builds expensive residential pools. You only use the best components, and receive all of your concrete for building pools from Jake, a concrete supplier. Jake has reliably delivered high quality concrete to you for nearly ten years. Jake has learned that your demand for concrete varies, and has customized his business to ensure response to your orders. In response to a wealthy client's quick demand for a new pool, you ask Jake for a fast delivery of 500 bags of concrete. Jake agrees to deliver, but due to a rare disruption in his own supplies, he is only able to deliver 400 bags on time. As a result, your wealthy client is disappointed with your work, and you suffer some damages. Your attorney informs you that you have a possible claim of breach of contract against Jake. Considering the legal and business implications, discuss whether you should declare a breach of contract claim against Jake seeking damages

Answer 1

Breach of contract occurs when the terms have not been fulfilled by any party without any legal excuses.In the above scenario, a breach of contract can be established after considering the following points:the contract existed and it was broken and Home water designs,Inc. incurred losses and Jake was responsible for these losses.However the scenario also states that Home Water Designs and Jake have been in a business relationship since 10 years and Jake have performed satisfactory.Clearly the above scenario states a breach of contract.Hence after considering the above points I would Firstly inform Jake that i am aware a breach a has occurred and he should verify the same giving him the opportunity to remedy the breach since a lawsuit can be time,money and effort consuming and will effect the business relationship.If Jake fails to do so, then I would file a breach of contract as my attorney recommends.

Briefly,

This type of breach refers to minor breach because under thus the contract is partially breached as only 100 bags are not delivered that also due to genuine reason i.e disruption .

Under this type of Breach the CEO can ask for the damages only related to the loss caused to him and rest of the bags he can accept them