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Evelyn, who owns and operates Eve's Farm & Garden Company, agrees to sell Hill & Dale Produce, Inc., fifty bushels of apples. Refer to Fact Pattern 17-2A. When the market price for apples exceeds the price in the contract with Hill & Dale, Evelyn decides not to deliver the apples. Evelyn's contract with Hill & Dale isA. breached.
B. discharged.
C. not affected.
D. suspended.

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Answer:

The answer is: A) breached

Explanation:

Evelyn breached her contract with Hill & Dale because she failed to perform her duties. In order for the contract to end, both parties must fulfill their duties or both parties must agree to cancel the contract. Any party involved in a contract can sue for damages, so Hill & Dale are entitled to sue Evelyn for compensatory damages.

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