Fact Pattern 16-1 (Questions 7–8 apply)
Estelle enters into a contract to buy 132 acres from Desmond to subdivide and sell in quarter-acre lots for Country Acres, a residential development.

-Refer to Fact Pattern 16-1.If Estelle breaches the contract,Desmond's remedy would most likely be
A)a certain ratio of the amount that Estelle has in liquid funds.
B)a percentage of Estelle's unrealized profit.
C)the difference between the land's contract and market prices.
D)specific performance.

Question

Fact Pattern 16-1 (Questions 7–8 apply)
Estelle enters into a contract to buy 132 acres from Desmond to subdivide and sell in quarter-acre lots for Country Acres, a residential development.

-Refer to Fact Pattern 16-1.If Estelle breaches the contract,Desmond's remedy would most likely be
A)a certain ratio of the amount that Estelle has in liquid funds.
B)a percentage of Estelle's unrealized profit.
C)the difference between the land's contract and market prices.
D)specific performance.

Quizplus · Accepted Answer

If Estelle breaches the contract, Desmond's remedy would most likely be the difference between the land's contract and market prices, as this compensates for the loss incurred due to the breach. Specific performance is typically not granted for contracts involving the sale of land unless the land is unique or the damages are inadequate.

Fact Pattern 16-1 (Questions 7–8 Apply)