Can Organic recover any damages from Cotton trends?

Morris and Sons, Inc. manufacture cotton. Organic Products, Inc. wanted to purchase 100 bushels of cotton in installments of 25 bushels monthly for four months to use in the production of some of its clothing. Organic accepted shipment of the fi rst 25 bushels. Through the grapevine, Harvey Morris, President of Morris and Sons, heard that Organic was having some fi nancial problems. He was concerned that Organic would not be able to pay for the next three shipments of cotton. The next shipment was due on the 1st of the month. In anticipation of Organic’s breach of contract, Morris sold Organic’s shipment to Cotton Trends, LLC. On the 2nd of the month, Organic’s president contacted Harvey inquiring where the shipment was. Harvey stated he sold the shipment because he anticipated Organics’ breach. Did Harvey act properly in selling Organic’s shipment to Cotton Trends? What damages, if any, can Organic recover from Morris and Sons? Can Organic recover any damages from Cotton trends? Explain your response.

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