Also known as: total contract prices · contract price
Written by attorneys · grounded in primary & secondary sources — see below
The aggregate sum a buyer agrees to pay a seller for goods or property under the terms of a contract. It serves as the baseline figure from which allowances, damages, or adjustments are calculated when performance is incomplete or nonconforming.
Torchlight Media contracted with Tamara Tan to buy 500 identified barrels of ink at a total contract price of $25,000. A flood damaged 120 barrels before risk of loss passed. Tamara Tan inspected the remaining barrels and elected to accept them with a proportionate reduction from the total contract price rather than avoid the deal entirely.
TechVista Solutions agreed to sell 200 servers to Travis Tate for a total contract price of $180,000. After TechVista Solutions failed to deliver, Travis Tate purchased substitute servers from another supplier for $210,000. Travis Tate recovered the difference between the cover cost and the total contract price plus incidental expenses.
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Twin Rivers Bank contracted to buy specialized turbines from Tidal Energy for a total contract price of $420,000. Tidal Energy repudiated before delivery. Twin Rivers Bank recovered damages measured by the difference between the market price at the time it learned of the breach and the total contract price.
The buyer may accept the remaining goods and receive a proportionate reduction from the total contract price to reflect the deficiency in quantity or deterioration. This adjustment occurs without any further claim against the seller for the loss.
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The buyer subtracts the total contract price from the cost of a reasonable substitute purchase. The resulting difference, together with incidental and consequential damages, forms the recoverable amount after deducting any expenses saved because of the breach.
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Damages equal the difference between the market price at the time the buyer learned of the breach and the total contract price. Incidental and consequential damages may be added and saved expenses subtracted.
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The total contract price is the amount the buyer is obligated to pay and excludes any mortgage except to the extent it exceeds the seller's adjusted basis. Selling expenses are not subtracted when computing this figure for gross-profit-percentage calculations.
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…(plaintiff/appellee), alleging damages should have been the difference between the market price of sunflower seeds and the contract price under K.S.A. 84-2-713. We agree that the trial court applied the wrong measure of damages. We reverse the damages award and remand with directions that the trial court determine the damages…