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National drilling ships its only pump to hydraulics

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Reference no: EM132051006

National Drilling ships its only pump to Hydraulics Corporation, themanufacturer, forrepair.

National hires Overland Transport to take the pump to Hydraulics Corp and to return it to National as soon as the repair is complete.

National is forced to suspend operations without a pump, but Overland does not know this. National expects to be without the pump for five days and to lose profits of $5,000.

When the pump is not returned by the end of the fifth day, National rents a pump at a cost of $100 per day. Overland delays five more days before returning the pump. National files a breach of contract suit against Overland.

Will National be successful in its breach of contract case against Overland? Explain, Analyze and Discuss Why or Why not National might be successful.

Describe what damages National might be able to recover if National was successful.

Should your response require additional facts, please identify them and indicate how they influence your analysis.

Reference no: EM132051006

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