that Texas state substantive law governs this contractual relationship. Under Texas law, the proper damages award for a breach of contract is the amount necessary to put the party in “the same economic position in which it would have been had the contract not been breached.” CDB Software, Inc. v. Kroll, 992 S.W.2d 31, 37 (Tex.App.Houston [1st Dist.], 1998 pet. denied). Generally, the measure of damages meeting this standard is net profit. Specifically, the gross amount the non-breaching party would have received if the contract had been fulfilled should normally be reduced by any unpaid costs the non-breaching party would have to incur to complete performance of the contract. See Farris v. Smith Erectors, Inc., 516 S.W.2d 281, 283-84 (Tex.Civ.App.Houston [1st Dist.] 1974, no writ) (<HOLDING>); V.R. Wattinger Co. v. C.W. Moore, 475 S.W.2d
holding that if plaintiff substantially performed its contractual obligations then it would be entitled to the payment due under the contract less the cost of any correction of defects in its performance even if it breached the contract holding that a construction contractor is entitled to recover profits upon breach of a partially performed contract but not the same amount as if the contract were completed because that amount must be reduced by the cost of completion holding that for a suit to be brought in the venue in which the contract was to be performed the contract must expressly state where the performance of the contract was to occur holding that one method of computing damages for a breach of contract is the contract price less the reasonable cost of completion recognizing that the elements of a claim for breach of contract are 1 existence of a valid contract and 2 breach of the terms of that contract