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First Principles of Business Law |
| Performance and breach of contract |
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4. Establishing a breach of contract |
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4.2. Non-performance |
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Read the facts and the question and then choose the best answer. On 20th June, A, who is a baker, agrees to buy 5,000 kgs of grade 1 bread flour from B for $2,500. The contract provides for A to collect the flour at B's warehouse the next day. But when A sends his truck to collect the flour, B has no grade 1 bread flour in stock. He offers to supply grade 1 cake flour instead at the same price, or grade 2 bread flour at a 10% discount. A says that, despite the alternatives offered by B, there has been a complete failure by B to perform the contract. Is A correct? |
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