Aries v. Palmer Johnson, Inc.
Court of Appeals of Arizona
735 P.2d 1373 (1987)
PJ (defendant) delivered Aries's (plaintiff) yacht five months late and, once delivered, the yacht immediately broke down with severe defects requiring 168 repair days; Aries presented evidence PJ knew his intended summer/fall charter-style use, established a reasonable daily rental value through competing expert testimony, and the trial court awarded loss-of-use damages for two-thirds of the pre-delivery delay and 20 of the post-delivery repair days.
Whether damages for loss of use are appropriate if the seller knew the buyer's intended use of the goods at the time of contracting and the buyer proves there were periods when the goods would have been used but were not because the buyer was waiting in good faith for delivery or repair.