Bancorpsouth Bank, Inc. v. Billy J. Hatchel

In this appeal, we are asked to review the trial court’s decision regarding the damages incurred by the plaintiff in a breach of contract action. The plaintiff, a bank, attempted to sell a parcel of distressed real estate containing residential dwelling units at a foreclosure sale. The defendant placed the highest bid for the property, but he subsequently refused to consummate the transaction.  After the sale, a dispute arose over who would be responsible for certain repairs, and the defendant,  who did not inspect the property prior to placing a bid, apparently felt that the property was not worth the amount he bid for it. The bank brought suit for breach of contract, but it failed to present any evidence of the property’s fair market value on the date of breach. After a bench trial in the matter, but before the trial court entered its final judgment, the bank sought to introduce additional evidence in the form of a second foreclosure sale conducted post-trial. The bank asserted that the amount it received at the second foreclosure sale represented the fair market value of the property.  After considering this additional evidence, the trial court entered a judgment finding that the bank failed to present evidence of the property’s fair market value on the date of the breach. Accordingly, the trial court concluded that the bank was not entitled to the damages it sought as a result of the breach. The bank appealed that decision to this Court. We affirm.