Take reasonable steps to mitigate her damages

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Reference no: EM132161594

Ms. Johnson, a single mother with three children, lived in Oregon. Trish Smith also lived in Oregon until she moved to New York City to open and operate an art gallery. Smith contacted Johnson and invited her to manage the gallery under a one-year contract for an annual salary of $78,000. To begin work, Johnson relocated to New York. As part of the move, Ms. Johnson transferred custody of her children to her husband, who lived in Italy. In accepting the job, Johnson also forfeited her husband’s alimony and child-support payments, including unpaid amounts of nearly $30,000. Before Johnson started work, Smith repudiated the contract. Unable to find employment for more than an annual salary of $25,000, Johnson moved to Italy to be near her children. Johnson filed a suit in an Oregon state court against Smith, seeking damages for breach of contract. Should the court hold, as Smith argued, that Johnson did not take reasonable steps to mitigate her damages? Why or why not?

Reference no: EM132161594

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