Contracts [RESTITUTIONARY] Remedies

Question 1

Contract [Legal Restitutionary] Remedies: Restitution

Answer 1

Restitution: Restitution is designed to prevent the defendant’s unjust enrichment. Generally, the measure of damages is the value of the benefit received by the breaching party. Restitutionary damages are favored when the actual value of the services provided are higher than the contract price.

Question 2

Contract [Legal Restitutionary] Remedies: Replevin

Answer 2

Replevin: A plaintiff may use replevin to regain personal property when there is a specific piece of property that the defendant wrongfully took from the plaintiff and the plaintiff has the right of possession.

Question 3

Contract [Equitable Restitutionary] Remedies: Constructive Trust

Answer 3

Constructive Trust: A constructive trust is an equitable restitutionary remedy designed to prevent unjust enrichment resulting from wrongful conduct. A constructive trust can only be imposed on wrongfully acquired property to which the defendant holds title. The plaintiff must establish that the defendant’s retention of the property would amount to unjust enrichment, and, in most jurisdictions, prove that a legal remedy is inadequate.

Question 4

Contract [Equitable Restitutionary] Remedies: Equitable Lien

Answer 4

Equitable Lien: An equitable lien is an equitable charge imposed by law designed to prevent unjust enrichment resulting from the defendant’s wrongful conduct. An equitable lien can be imposed on wrongfully acquired property to which the defendant holds title. The plaintiff must establish that the defendant’s retention of the property would amount to unjust enrichment, and, as with a constructive trust, prove that a legal remedy is inadequate. Once an equitable lien is imposed on the property, the lien can be foreclosed.