Tennessee § 47-2-708 - Seller's damages for nonacceptance or repudiation.

§ 47-2-708. Seller's damages for nonacceptance or repudiation.

Subject to subsection (2) and to the provisions of this chapter with respect to proof of market price (§ 47-2-723), the measure of damages for nonacceptance or repudiation by the buyer is the difference between the market price at the time and place for tender and the unpaid contract price together with any incidental damages provided in this chapter (§ 47-2-710), but less expenses saved in consequence of the buyer's breach. If the measure of damages provided in subsection (1) is inadequate to put the seller in as good a position as performance would have done then the measure of damages is the profit (including reasonable overhead) which the seller would have made from full performance by the buyer, together with any incidental damages provided in this chapter (§ 47-2-710), due allowance for costs reasonably incurred and due credit for payments or proceeds of resale. Acts 1963, ch. 81, § 1 (2-708). Prior Tennessee Law: § 47-1264. Textbooks. Tennessee Jurisprudence, 6 Tenn. Juris., Commercial Law, §§ 26, 32; 9 Tenn. Juris., Damages, § 10. Law Reviews. Article Nine Deficiency Sales: The Windfall Factor (Mark Nelson Miller), 7 Mem. St. U.L. Rev. 475. Contract Damages in Tennessee (Robert M. Lloyd), 69 Tenn. L. Rev. 837 (2002). Cited: Capitol City Office Machines v. Metropolitan Bd. of Education, 632 S.W.2d 142, 1982 Tenn. App. LEXIS 462 (Tenn. Ct. App. 1982).