Apply Remedies For Breach Of Contract Practice Test

Acme Corp contracted to purchase custom-manufactured equipment from Boyle Industries for $500,000. Boyle breached the contract before manufacturing began. Acme purchased equivalent equipment from a third party for $530,000. Which of the following correctly states Acme's damages?

A contract between a software developer and a client contains a liquidated damages clause providing that in the event of late delivery, the developer will pay $5,000 per day. The developer delivers the software 10 days late and the client suffered no actual damages. Which of the following is the most likely outcome if the developer challenges the clause?