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Contracts Keyed to Fuller
Hadley v. Baxendale
Citation:
Hadley v. Baxendale, In the Court of Exchequer, 1854. 9 Exch. 341.ProfessorMelissa A. Hale
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Facts
Hadley (Plaintiff) owned and operated a corn mill. The crank shaft used to operate the mill broke, and in order to obtain a replacement, Hadley had to ship the crank shaft to the Joyce & Co. engineering company to be used as a model for a new shaft. Hadley contacted Pickford & Co. (Pickford), which was a shipping company owned by Baxendale (Defendant). Hadley was told that if he dropped the shaft off to Pickford by noon on the following day, it would be shipped to Joyce & Co. the next day. Subsequently, Hadley delivered the shaft on time and paid the shipping price in full. However, Pickford breached the contract by delaying shipment and not delivering the shaft until several days later. Hadley lost significant revenue due to the breach, because he could not operate the mill without a new crank. Hadley brought suit against Baxendale for damages, specifically lost profits due to the delay in shipping the crank.
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Topic Resources
Topic Refresher Course
Intro to Damages and Expectation Damages