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'V' places an order with 'S' for supply of 20 sewing machines. 'S' could not supply them in time. 'V'…

Under the rule in Hadley v. Baxendale, reflected in Section 73 of the Indian Contract Act, 1872, loss of profits on a special contract not made known to the promisor is…

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'V' places an order with 'S' for supply of 20 sewing machines. 'S' could not supply them in time. 'V' loses a profitable contract due to non-receipt of the machines in time and claimed his loss of profits from 'S'. V will fail in claim because the nature of loss

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Correct answer A

Under the rule in Hadley v. Baxendale, reflected in Section 73 of the Indian Contract Act, 1872, loss of profits on a special contract not made known to the promisor is "Remote" and is not recoverable.

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