A buyer fоr Mustаrds, а discоunt depаrtment stоre chain in the South, and Not LV, a seller of imitation French handbags, entered into a contract whereby Not LV would sell to Mustards 1,000 of a specific brand of its handbags for a price of $20 apiece, with Not LV delivering the handbags “F.O.B. Atlanta CSX Terminal.” The handbags were sent by rail to Atlanta; midway through the trip, the freight car that was carrying the handbags was struck by lightning and caught fire, destroying the handbags.If Not LV brings suit against Mustards, which has refused to pay the contract price for the handbags, Not LV will:
Elle wаs the оwner оf а sоon-to-be-opened pаstry shop, Elle’s Pastries, wrote to Sanchez Sugar, a large supplier of premium confectioner’s sugar, about placing a standing order for sugar to meet Elle’s Pastries’s frosting and other needs. By return mail, Sanchez Sugar offered Elle’s Pastries a discounted price of $5 per five-pound bag—$3 per bag less than its regular price—based on the parties’ “many years of pleasant business association.” Because Elle’s Pastries had not done business with Sanchez Sugar before, she realized that Sanchez Sugar had confused her shop with another pastry shop having a similar name. However, Elle’s Pastries kept quiet about the mixup and placed an order for 200 bags of sugar at the discounted price of $5 per bag. Shortly before it shipped the sugar to Elle’s Pastries, Sanchez Sugar discovered that it was mistaken about the identity of the shop owner and that the order was for a new pastry shop that was opening soon. It sent an overnight letter to Elle’s Pastries noting its mistake and stating that the price of a bag of premium confectioner’s sugar was $8 per bag. Elle’s Pastries, whose grand opening was coming soon, sent the supplier $1,600 and received the 200 bags of confectioner’s sugar in a timely manner. Immediately thereafter, Elle’s Pastries filed suit against Sanchez Sugar for $600 (the difference in price between cost of the sugar at $5 per bag and its cost at $8 per bag) plus any consequential damages. In her pleadings, Elle’s Pastries asserted that Sanchez Sugar violated its contract to sell the sugar at $5 per bag and that it had forced her to pay the higher amount knowing that she needed the sugar for her pastry shop to open.Will Elle’s Pastries win its suit?