Strategies, Challenges, and Answers

“Reasonable Rental Cost” Not “Financing Cost” Is The Proper Measure Of Damages For Loss Of Use

Disputes over the value of loss of use are common. Sometimes these disputes are small such as the loss of use of a car following an auto accident. Other times, the dispute involves a much bigger piece of equipment. For example, Asphalt Products Company (APCO) arranged to sell a used bulldozer tractor to All Star Ready Mix. The agreed sales price was $467,000. The sale was memorialized in a written “Intent to Purchase”. APCO then transferred the use of the tractor to All Star. It immediately … [Read more...]