Questão jurídica principal
Whether damages for defective performance could be awarded under Art. 366(2) CO despite the owners' immediate termination of the contract.
Decisão extraída
No; Art. 366(2) CO presupposes that the contract continues, so damages could not be based on that provision after an unequivocal termination.
Fundamentação extraída
Immediate termination transformed the dispute into one governed, if at all, by Arts. 97(1) and 107(2) CO; the first-instance legal basis was therefore wrong.