Erte holds 1,000 pounds of perishable fruit in storage for Fresh Stuff Corporation.Fresh Stuff does not pay for the storage.Erte sells the fruit to Green Grocers,Inc.This sale represents
A)a breach of contract.
B)a mitigation of damages.
C)rescission and restitution.
D)specific performance.

Question

Quizplus · Accepted Answer

Erte's action can be seen as a mitigation of damages, as they sold the fruit to recover some of the costs they incurred by storing the perishable fruit for Fresh Stuff Corporation. There is no indication that there was a contract between Erte and Fresh Stuff regarding payment for storage, so a breach of contract or rescission and restitution are not applicable. Specific performance is also not applicable as there was no agreement or contract requiring a specific action or performance by Erte.

Erte Holds 1,000 Pounds of Perishable Fruit in Storage for Fresh