In the course of doing business, there are many opportunities for contract disputes to arise, as they regularly do. In many cases, when a claim is deemed valid, a court or out-of-court settlement will lay out a plan for fair monetary compensation to settle the matter.
But, what if your contract dispute can’t resolve with money changing hands or paying for a similar service or product? This is sometimes the case if a contract involves a specific piece of property changing ownership, or if you entered into a very specific contract where substitutes will not suffice.
In these cases, the court has the ability to remedy your loss with a special performance order. Under special performance, an individual or business entity must comply with the terms of a contract at the order of the court.
Don’t settle for anything less than what you deserve
While the broad strokes of special performance are simple, the principle applies in a number of circumstances. In general, if your disputed contract involves unsubstitutable property, special performance may be the right legal remedy for you.
Let’s assume that you entered into a contract to buy a specific piece of property. Under the contract, you met all of the seller’s demands and financing was not a concern. Still, despite meeting all the contingencies, the seller chose to revoke the sale at the last minute.
Depending on the nature of your contract, it is possible that a court could compel the seller to honor the agreement and sell the property to you as originally agreed.
While contracts involving real estate are some of the most common contracts to employ special performance, they are not the only instances when a court uses it. Other types of transfers involving unique items like works of art or equipment that a manufacturer made to order for a client may also use special performance.
In some cases, a court may use special performance if a contract involves the transfer of certain goods experiencing short supply. In this way, your contract can practically help protect you from unfair price gouging or a supplier who suddenly refuses to honor your purchase agreement over goods in short supply.
Build a strong team for strong results
Whatever your contract dispute involves, you should not hesitate to seek experienced legal counsel to help create a strong strategy for pursuing a just resolution.
The guidance of an experienced attorney helps ensure that every party to a contract honors the terms and fulfills their obligations, keeping your rights protected in the process.
Source: Nov. 30, -0001