Contracts [EQUITABLE] Remedies Flashcards
Contract [Equitable] Remedies: Injunctive Relief - Temporary Restraining Order
Temporary Restraining Order: To obtain a temporary restraining order, a party must show that they will suffer irreparable injury while waiting for a full trial on the merits, that they are likely to succeed on the merits, inadequate legal remedy, balancing the hardships, and no defenses.
Contract [Equitable] Remedies: Injunctive Relief - Preliminary Injunction
Preliminary Injunction: The same elements are required for a preliminary injunction as a TRO; however, notice is required for a preliminary injunction.
Contract [Equitable] Remedies: Specific Performance
Specific Performance: An equitable remedy requiring the breaching party to perform their obligations under the contract. Awarded when a legal remedy is inadequate, and the contract is certain and definite in terms, the plaintiff has performed or is ready and able to perform their obligations, enforcement is feasible, and there are no valid defenses. Elements: (1) Certain and valid contract with sufficient certain and definite terms, (2) Plaintiff’s performance, (3) Inadequate legal remedy, (4) Feasibility of enforcement, (5) No viable defenses.
Contract [Equitable] Remedies: Specific Performance - Certain and Valid Contract
Specific Performance Element: Certain and valid contract with sufficient certain and definite terms. To be sufficiently definite and certain, the communication must contain enough essential terms such that a resulting contract would be capable of enforcement. An offer involving goods must specify the quantity of goods or the quantity of goods must be capable of being made certain.
Contract [Equitable] Remedies: Specific Performance - Plaintiff’s Performance
Specific Performance Element: Plaintiff’s Performance. The plaintiff must be ready and able to perform under the terms of the contract.
Contract [Equitable] Remedies: Specific Performance - Inadequate Legal Remedy
Specific Performance Element: Inadequate Legal Remedy. A legal remedy is inadequate when money damages are too speculative or the thing bargained for is unique. The thing bargained for is unique when it is very rare or circumstances make that chattel unique.
Contract [Equitable] Remedies: Specific Performance - Feasibility of Enforcement
Specific Performance Element: Feasibility of Enforcement. A court must be capable of enforcing performance.
Contract [Equitable] Remedies: Specific Performance - No Viable Defenses
Specific Performance Element: No Viable Defenses. The defendant must have no viable defenses. Specific performance is an equitable remedy; thus, equitable and legal defenses are available. Additionally, contract defenses are available where breach of contract is the underlying claim.
Contract [Equitable] Remedies: Rescission
Rescission: Rescission is available when the original contract is voidable because there is a ground for rescission and there are no valid defenses. Grounds for rescission include misrepresentation and mistake. The effect of rescission is to cancel the contract.
Contract [Equitable] Remedies: Reformation
Reformation: Reformation is an equitable remedy where a court modifies a written instrument to conform to the parties’ previous understanding or agreement. There must be a valid prior agreement between the parties, that fails to conform to the valid prior agreement, as a result of mistake or fraud, and both parties believed at the time they executed the contract that the contract reflected their underlying agreement.
