Bende had a contract to sell boots to the government of Ghana for $158,500. Bende promised to deliver the boots "as soon as possible." Bende then contracted with Kiffe, who agreed to make the boots in Korea and to deliver them in Ghana within sixty to ninety days at a price of $95,000. The contract contained no force majeure clause. Kiffe knew that Bende was going to resell the boots. Kiffe failed to deliver the boots on the agreed date because a train carrying the boots had derailed in Nebraska. Bendee brought this action against Kiffe for breach of contract.
a. Kiffe claimed that the contract had been rendered commercially impracticable and that performance was excused. Do you agree? Why or why not? Was the train wreck foreseeable or unforeseeable?
b. What could Kiffe have done in negotiating the contract to protect itself from this contingency?
c. If Bende would have incurred an additional $18,815 in freight charges and miscellaneous costs had the breach not occurred, what would be its measure of damages? Is Bnede entitled to lost profits? How are damages measured in a case such as this?