Code of Alabama

Ala. Code § 7-2-708 (2026)

Seller’s Damages for Nonacceptance or Repudiation.

✓ official Alabama Legislature (ALISON) text, current July 2026

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(1) Subject to subsection (2) and to the provisions of this article with respect to proof of market price (Section 7-2-723), the measure of damages for nonacceptance or repudiation by the buyer is the difference between the market price at the time and place for tender and the unpaid contract price together with any incidental damages provided in this article (Section 7-2-710), but less expenses saved in consequence of the buyer’s breach.

(2) If the measure of damages provided in subsection (1) is inadequate to put the seller in as good a position as performance would have done then the measure of damages is the profit (including reasonable overhead) which the seller would have made from full performance by the buyer, together with any incidental damages provided in this article (Section 7-2-710), due allowance for costs reasonably incurred and due credit for payments or proceeds of resale.

(Acts 1965, No. 549, p. 811.)

Notes of Decisions

Cited in 1 case (1 in the last 5 years), 2021–2021 · leading case: Exp. Dev. Canada v. Shore Acres Plant Farm, Inc. (S.D. Ala. 2021).

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Exp. Dev. Canada v. Shore Acres Plant Farm, Inc. (S.D. Ala. 2021). “(3) After the buyer has wrongfully rejected or revoked acceptance of the goods or has failed to make a payment due or has repudiated (Section 7-2-610), a seller who is held not entitled to the price under this section shall nevertheless be awarded damages for nonacceptance under…”

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