Kathy is engaged to be married. She contracts with the Bridal Shop for a custom-designed bridal gown in size 6 with delivery to be made by the weekend before the wedding. Kathy makes a $500 deposit against the contract price of $2,500. If the dress is completed in conformance with the specifications and on time, then Kathy is obligated to pay the balance of the agreed-on price. But what happens if either Kathy or the Bridal Shop breaches the contract? For example:
If Kathy breaks her engagement and tells the Bridal Shop that she is no longer interested in having the dress before the shop has completed making it, what options are open to the Bridal Shop? Can it complete the dress or should it stop work on it?
If the Bridal Shop completes the dress but Kathy does not like it and refuses to accept it, what can the Bridal Shop do? Can it collect the balance of the contract price from Kathy or must it first try to sell the dress to someone else?
If the Bridal Shop advises Kathy that it will be unable to complete the dress in time for the wedding, what options are open to Kathy? If she has another dress made by someone else, or purchases a ready-made one, what, if any, damages can she collect from the Bridal Shop?
If the Bridal Shop completes the dress but advises Kathy it plans to sell it to someone else who is willing to pay more money for it, does Kathy have any recourse?
Would it be ethical for the Bridal Shop to sell the dress to someone else who offers more money for it?
