What is a specific performance clause?
What is a specific performance clause?
Specific performance is a specialized remedy used by courts when no other remedy (such as money) will adequately compensate the other party. If a legal remedy will put the injured party in the position he or she would have enjoyed had the contract been fully performed, then the court will use that option instead.
What is specific performance contract law?
A contractual remedy in which the court orders a party to actually perform its promise as closely as possible, because monetary damages are somehow inadequate to fix the harm. Most commonly ordered in cases involving real property and rare chattels.
What is the difference between injunction and specific performance?
Injunction Injunctions serve a similar purpose as specific performance. The difference is that with specific performance, the court orders a party to do something. With an injunction, the court often orders a party not to do something. An injunction may be permanent or temporary.
Is specific performance legal or equitable?
Specific performance is an equitable remedy in the law of contract, whereby a court issues an order requiring a party to perform a specific act, such as to complete performance of the contract.
What are the elements of specific performance?
There are three elements that must be proven before the specific performance will be granted: the existence of a valid, binding, and enforceable contract; compliance by the plaintiff with terms of the contract; and the failure of the defendant to perform its part of the contract.
Who may obtain specific performance?
1. Any party: Illustration: In a contract, there are two parties, A and B. Therefore, either of the parties can obtain specific performance of the contract.
What is the opposite of specific performance?
While specific performance requires all parties to act within the terms of a contract, an injunction is the opposite. It’s a court order that prevents someone from acting in a certain way.
Why was the Specific Relief Act enacted?
The Specific Relief Act, 1963 is an Act of the Parliament of India which provides remedies for persons whose civil or contractual rights have been violated. It replaced an earlier Act of 1877.
Who may obtain specific performance under the Specific Relief Act 1963?
This Act was enacted in 1963 following the approach that when a person has withdrawn himself from the performance of a particular promise or a contract with respect to another person, the other person so aggrieved is entitled to a relief under Specific Relief Act, 1963.
What are the defenses to specific performance?
Mistakes and misrepresentations in the terms of a contract might constitute a defense against specific performance. If such mistakes are sufficient to justify rescission of a contract, they are sufficient to prevent the enforcement of the contract. A court will enforce only a contract with definite and certain terms.
What is a specific performance clause in a contract?
Contracting parties can include a “specific performance clause” in their contract to provide for this remedy for specific circumstances. The specific performance clause is an enforceable clause although the courts will evaluate the overall circumstances of the case to determine its suitability.
What is the history of specific performance?
However, the history of specific performance saw the courts of equity realizing that real property made for unique cases. As such, damages were not always adequate insofar as compensation for someone’s loss. Specific performance was therefore established so as to guarantee a party the remedy of the right to possession of the land.
When is an order of specific performance granted?
Such order are granted when damages are not an adequate remedy and in some specific cases such as land (which is regarded as unique). An order of specific performance is generally not granted if any of the following is true:
What is specific performance in law?
Specific performance is an alternative to a court’s decision to award damages and it is commonly used as injunctive relief in cases involving real property or the disclosure of confidential information. To explore this concept, consider the following specific performance definition. Definition of Specific Performance
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