Happy Valley Homes, Inc. v. American Glanzstoff Corporation

In 1928, the parties entered a contract where the plaintiff agreed to buy lots and build 12 houses on them, ready for occupancy a few months later. The defendant agreed to be liable for the rent for the first ten years, at $393.10 per month. After the first month, the defendant refused to pay the plaintiff, instead collecting rent from the houses but not forwarding the money, even though the plaintiff accepted a loss of $10,000 due to the contractual estimate for construction.