
Peevyhouse v. Garland Coal & Mining Co.
Yale law professor Ian Ayres covers Peevyhouse v. Garland Coal & Mining Co., a classic contracts case on remedies for breach by the seller. The dispute involves a coal company that promised to restore land after strip mining but left the dirt unmoved, and the court had to decide whether damages should reflect the cost of full restoration or only the diminished value of the property. Ayres uses the case to illustrate the tension between expectation damages and economic waste, a recurring theme in remedies doctrine. This lecture is part of his American Contract Law series, originally built for Yale's Coursera course, and runs about eleven minutes, focused narrowly on this one case and its implications for how courts measure breach remedies when performance would cost far more than the benefit gained.