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Kerr Steamship Company sent a telegram at a cost of $26.78 to the Philippines through the Radio Corporation of America. The telegram, which contained instructions in unintelligible code for loading cargo on one of Kerr's ships, was mislaid and never delivered.

Consequently, the ship was improperly loaded and the cargo was lost. Kerr sued the Radio Corporation for the $6,675.29 in profits the company lost on the cargo because of the Radio Corporation's failure to deliver the telegram. Should Kerr be allowed to recover damages from Radio? Explain.

Management Theories, Management Studies

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