
ATACS Corp. v. Trans World Communications, Inc.
United States Court of Appeals for the Third Circuit
155 F.3d 659 (1998)
ATACS Corporation and AIRTACS Corporation integrated and customized mobile enclosures with communications and other equipment for military use. Trans World Communications, a subsidiary of Datron, Inc., designed, manufactured, and sold high-frequency radio equipment for communications shelters. In October 1989, the Greek government opened bidding for 61 communication shelters for the Hellenic Army General Staff. On February 26, 1990, Trans World wrote to ATACS confirming its intent to "team" with ATACS on the Greek shelter program, while noting the details still needed to be worked out, and sought a firm commitment from ATACS before any price quotations were issued. The parties agreed Trans World would bid as prime contractor on the Greek proposal and ATACS would serve as the major subcontractor, and by April 25, 1990, Trans World had outlined an arrangement under which it would assume prime-contractor responsibilities, including full financial responsibility for the Greek proposal.
Whether expectation, reliance, and restitution damages are the three basic types of damages for a breach of contract.