Equity Florida Flashcards
Under Florida law, what is the general rule if the complaint on its face shows that an adequate legal remedy exists?
Equitable remedies are not available.
What are the requirements for enforcing a covenant not to compete in Florida?
1) Covenant must be expressly contained in a signed contract and be reasonable in:
(a) time,
(b) geographic area, and
(c) line of business;
2) Employer must plead and prove the covenant is justified by a legitimate business interest (otherwise void); and
3) Clause must be reasonably necessary to protect the employer’s established interests
In Florida, the violation of an enforceable restrictive covenant creates what presumption?
irreparable injury to the person seeking enforcement of the restrictive covenant
Will courts consider an award of specific performance when the contract contains a liquidated damages clause?
Yes, unless the parties agreed that liquidated damages are the sole remedy. The aggrieved party generally cannot have both the liquidated damages and specific performance.
What is a Time of the Essence Clause?
A clause where a party is required to perform within the stipulated time or the party’s rights under the contract are void.
What must a plaintiff prove to establish a right to specific performance?
Plaintiff must establish:
(i) Existence of valid contract and fulfillment of all its conditions,
(ii) Inadequacy of legal remedies,
(iii) Feasibility of enforcement,
(iv) Mutuality of remedy, and
(v) Absence of any defenses.
Specific performance of a contract generally may be enforced against a _________ to the contract or a person in _______ with a party.
party or person in privity with a party
If the misrepresentation was unintentional, the party seeking rescission will be required to have _________________on the misrepresentation. If the misrepresentation was intentional, the party need only show that she _________ relied on the misrepresentation.
unintentional —> reasonably relied
intentional –> actually
What types of contracts are subject to specific performance?
1) Land sale contracts
2) Doctrine of equitable conversion
3) Covenants not to compete
4) Unique chattels
5) Contracts to make testamentary dispositions or mutual wills
What types of defenses can defeat a specific performance claim?
1) Standard contract defenses: improper contract formation, mistake, impracticability, misrepresentation, fraud, duress, incapacity, Statute of Frauds, etc.
2) Equitable defenses: unclean hands, laches, undue hardship, etc.
What are the four requirements that must be met before the court may impose a constructive trust?
(i) Defendant has legal title to property belonging to the plaintiff;
(ii) Defendant will be unjustly enriched if title remains in him;
(iii) No adequate legal remedy exists; and
(iv) Fiduciary or confidential relationship exists between parties (e.g., buyer–seller, executor–estate)
What are the three types of contracts that a court generally will not specifically enforce?
1) Personal services contracts (unless contract fully performed by party rendering services and failure to carry out agreement would be fraud);
2) Construction contracts; and
3) Employment contracts
When must the grounds for rescission occur?
They must have occurred prior to or contemporaneous with the formation of the contract.
What are the three requirements for reformation of a contract?
(i) Valid original agreement;
(ii) Original agreement was in writing; and
(iii) Original agreement fails to accurately express parties’ intent.
When will a unilateral mistake result in the rescission of a contract?
(i) Non-mistaken party was aware of the mistake and took advantage of it;
(ii) Mistaken party would suffer severe hardship if forced to accept the bargain; or
(iii) Non-mistaken party has not yet relied on contract.
