LAKOTA GIRL SCOUT COUNCIL, INC. V. HAVEY FUND-RASING MANAGEMENT, INC.
519 F.2d 634 (8th Cir. 1975)
NATURE OF THE CASE: Havey (D) appealed a jury verdict in Lakota's (P) action for breach
of contract for failing to provide fund-raising services.
FACTS: P decided to hold a fund-raising drive. D conducted a survey and informed Pl that
it was feasible to raise $325,000 - $350,000 for the project. The Council thereupon set its
goal at $345,000 and selected P to assist. P and D entered a contract where D was to provide
professional assistance to help P reach its goal in return for a fee of $28,000; D did not
guarantee that any money would in fact be raised. The drive grossed $88,842.32; P paid
$24,000 to D and incurred $10,000 in additional expenses. The campaign fell far short of its
goal, and P sued seeking damages. The District Court submitted the damage issue to the jury
only upon the theory of lost profits: 'what the plaintiff would have made if the contract
had been performed minus a deduction for savings made possible by the breach.' P sought
$399,000 from D. The jury awarded P $35,000.00. D appealed.
ISSUE:
RULE OF LAW:
HOLDING AND DECISION:
LEGAL ANALYSIS:
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