Montana
How Cohen v. New York City applies in Montana: state-specific rules, key cases, and bar exam notes for Contracts.
Montana law recognizes the enforceability of contractual promises under the Uniform Commercial Code (UCC) and state law. The principles from Cohen regarding lost profits and expectations may apply where damages are consequential and foreseeable.
In Montana, a party may recover lost profits if the profits were within the contemplation of both parties at the time the contract was made, and they can be established with reasonable certainty.
The court allowed damages for lost profits where the existence of a valid contract and the loss were proven.
The court affirmed that consequential damages, like lost profits, are recoverable if they were within the reasonable foresight of the parties.
Damages for breach of contract must be proven with reasonable certainty, aligning with the principles established in Cohen.
Montana's application of lost profits aligns closely with federal standards under UCC and common law principles. However, the Montana courts emphasize greater certainty in proving damages, which could differ in complexity from some federal jurisdictions.
Understanding how lost profits are calculated and the standards for foreseeability will be important for the Montana bar exam.