Substitute Snowmen

November 13, 2013

  • 115 Damages
  • 115IV Liquidated Damages and Penalties
  • 115k75 Construction of Stipulations
  • 115k80 Proportion of Sum Stipulated to Actual Debt or Damage
  • 115k80(3) k. Breach of Contract of Sale or Lease.

115 DamagesChargeback provisions in contract for purchase of lighted inflatable holiday snowmen were void as penalties under the Uniform Commercial Code (UCC) in action by buyer against seller for breach of contract, where buyer did not attempt to determine a chargeback amount that was reasonable in light of anticipated or actual harm, buyer’s employees testified that it suffered no actual damages as a result of seller’s substitution of eight-foot banner snowmen instead of nine-foot waving snowmen, and record showed that buyer suffered no actual damages, but chargebacks assessed by buyer for unauthorized substitution totaled approximately $79,500.
Garden Ridge, L.P. v. Advance Int’l, Inc., 403 S.W.3d 432 (Tex. App. 2013)
Suggested by Ben Frisch, Sr. Attorney Editor; Thomson Reuters; Eagan, Minn.