Question: Suppose that the following milestones apply to a hypothetical based on Brogden v Metro Railway. Brogden supplies coal to Metro on a regular basis. On May 23, Brogden and Metro negotiated a draft concerning the supply of coal.
Suppose that the following transactions take place:
April 2: Brogden shipped and Metro received 120,000 tons of coal
May 2: Brogden shipped and Metro received 135,000 tons of coal
May 22: Brogden shipped and Metro received 145,000 tons of coal
May 24: Brodgen shipped but Metro rejected the delivery of 95,000 tons of coal
June 2: Brogden shipped and Metro received 80,000 tons of coal
August 2: Brogden shipped and Metro received 80,000 tons of coal
[2] What, if any, would be the contractual liability of Metro to Brogden? Answer in aggregate tons: (number) [ILO B1] (2 marks)
[3] What effect, if any, did the event of June 2 have on that contractual liability? Explain in terms of implied contact theory in one sentence only on the lines provided