Quiz 19: Remedies

Business

Specific performance is explained below: Specific performance can be enforceable by both the parties to complete the deal. In case, if the seller breaches the contract, the buyer is permitted to distinction between contract price and market rate. So, the buyer has the right to purchase it. Decision regarding the case issue is explained below: In this case, suppose N has breached the contract. L is permitted to distinction between contract price and market value. But there is no proof that L has lost money to buy the contract. Therefore, the evidence on market rate is proved to be important. In order to insist on the contract, he must distinguish between contract price and market rate on the timber. Hence, it is obvious that the case is related to specific performance concept.

Decision regarding the case issue is explained below: In this case, NF can sue and can obtain an injunction for the violation of NF's copyrights in the broadcast. Here, the injunction prohibits the bars from showing any blacked out games without the written permission. So, it was unethical for the bars to show the game. NF has all the rights to stop the bars from broadcasting the games because, it createdits own copyrights to broadcast the game. NF was the license of the local television stations to telecast certain games and maintain specific rules.

M Mfg. Inc., contracted with A Corporation for maintaining their computer system. Liquated damages clause in the contract specifies that A would repay M $1000 for each day that they delay in providing service. Their computer system has failed on January 12 but A was not able to repair it till January 15 as result of which M sued A for the same. For a suit to claim liquated damages it must satisfy the following two conditions: 1. It was very difficult to estimate actual damages at the time of formation of the contract. 2. The amount liquidated must be reasonable. M suing A as per the clause mentioned in the liquidated damages, will win provided such provisions are not determined as penalty. Liquidated damage provisions are not enforceable under all circumstances if it does not fulfill the basic condition of loss. So, the correct answer is option (a).

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