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Grossman Holdings Ltd. v. Hourihan
Florida Supreme Court
414 So. 2d 1037 (1982)
The Hourihans (plaintiffs) contracted with Grossman Holdings Limited (defendant) for the construction of a house. The contract stated that the house would be substantially the same as a model home that Grossman had designed. Construction in this manner would permit the benefits of prevailing winds entering the home and would enable views of a residential area. In actuality, Grossman built a mirror image of the model. The construction of the house in this manner gave the Hourihans a view of a highway and blocked the prevailing winds from entering the house. The Hourihans sued Grossman for breach of contract. The trial court ruled that Grossman breached the contract but declined to award money damages, finding that it would constitute economic waste and that the house’s value, as built by Grossman, had increased significantly over the contract price. The court of appeal reversed, finding that the measure of damages should be the amount required to rebuild the house to make it conform to the contract specifications. Grossman appealed.
Rule of Law
Holding and Reasoning (McDonald, J.)
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