David enters into a contract giving Edward the right of first refusal on a tract of land owned by David. David subsequently offers the land to Fred without first offering it to Edward. An appropriate remedy for Edward to seek would be:
A) an injunction.
B) liquidated damages.
C) reformation.
D) punitive damages.

Question

Quizplus · Accepted Answer

The right of first refusal gives Edward the contractual right to be offered the land before anyone else. By offering it to Fred without first offering it to Edward, David has breached the contract. An injunction would be an appropriate remedy to prevent David from selling the land to Fred and require him to offer it to Edward first. Liquidated damages, reformation, and punitive damages are not appropriate remedies in this situation.

David Enters into a Contract Giving Edward the Right of First