Payment of money damages is known as a remedy as compared with an order of specific performance, an example of an remedy. The first type is much (more or less) common than the latter. The latter type is said to attach "to the person," sometimes referred to as but the first type is an order that attaches "to [the persons] property," known as

S contracts with B for the sale of her lakefront cabin to B. The purchase price is $200,000 with B paying over a binder of $10,000 on the contract date and closing to be held in 30 days. The cabin has a 3 bedroom/2 bath layout and is very similar to all of the other cabins on the lake, but, of course, has a somewhat different view of the lake than any other cabin. Several other similar cabins nearby are currently for sale at prices ranging from $180,000 - $220,000.

On the day of the scheduled closing, S repudiates and refuses to transfer the deed. If B sues for breach, a court would be most likely to order which of the following remedies:

• Expectation damages in the amount of $20,000 because other similar cabins are selling for $20,000 more than the price B will pay
• Liquidated damages of $10,000 as restitution for the binder that B already paid
• An order of specific performance compelling S to consummate the transaction and deliver the deed to B
• Based on these facts alone, B is unlikely to obtain any remedy in an action for breach of contract

On February 28, Homeowner contracts with Lucy Landscaper for upgrades to her backyard recreational space. The contract calls for construction of a large gazebo, a new brick patio, and approximately 1,000 square feet of new garden and flower beds.The total contract price is $30,000 and Lucy has dependable estimates of the total materials and labor cost at $25,000.Homeowner paid Lucy a deposit of $5,000 when they signed the contract. The full balance of the contract will be due upon completion of the work, which is expected to be on or about April 30.

Lucy begins work on March 1 and orders all of the gazebo materials at a cost of $10,000. She roughs in the new garden and flower beds and builds the brick patio during March, incurring costs of $10,000. On March 30, Homeowner is laid-off from his job and immediately notifies

Lucy that he must terminate the project. Lucy pays her suppliers and laborers for the patio and garden work and is able to return the gazebo materials for their original price less a 20% restocking fee.

Based on all of the facts above, in a suit for breach of contract, what amount of damages should Lucy be able to recover?

• $12,000
• $17,000
• $25,000
• $30,000

Homeowner contracts with Roofer to replace the roof of Homeowner's garage. The contract price is $2,000 and the work is to be completed within 10 days. Roofer begins the work in a timely manner by removing the old shingles. But, the new shingles specified in the contract are back-ordered from the manufacturer so Roofer is unable to immediately complete the job and promptly notifies Homeowner. A sudden and unpredicted storm passes through the area and some of Homeowner's property stored in the garage is damaged. Homeowner was present at the time of the storm.

Among the damaged items are a 1957 Ford Thunderbird Convertible in mint condition, some power tools, several original oil paintings created by Homeowner, and one original Jackson Pollack painting that Homeowner was making a reproduction of. The car, since its convertible top was down, will require a completely new interior at a cost of $20,000. The power tools have a fair market value of $500 and are totally destroyed. The Homeowner's original paintings have no cash value but Homeowner used $500 of materials in creating the paintings. Finally, the Pollack was seriously damaged, reducing its market value by exactly $2,000,000.

In a lawsuit for breach of contract, what amount of damages is Homeowner likely to be awarded?

• $2,021,000 - the total value of all the enumerated losses
• $21,000 - the value of the tools, original paintings, and car interior
• $2,000 - the value of the contract for the job
• $1,000 - the value of the tools and original paintings

Data Dude ("Dude") entered into a contract with Client Corp. ("Client") on May 1 to create a website for their new product launch. The contract calls for Dude to devote his full time and effort to the Client project until it is complete to Client's satisfaction.Client expects to launch the new product on or about June 15. The fee for developing the site is $25,000, payable 50% on the contract execution date and 50% on completion.

Dude makes a quick start on the project, but on May 20 gets a call from Mega Corp. ("Mega") asking him to drop everything and immediately update a website he made for them last year. Mega is desperate for the update to be completed ASAP and knows that Dude is the only person who can do the work quickly. They offer Dude $100,000 (five times his standard monthly rate) to start immediately and work on the update for the next month.

Dude tells Client about the situation and offers to waive the $12,500 payment due at completion if they will accept a one month delay. Client refuses to compromise on the completion date, stating that they would miss the "fall season" and would incur huge losses. Dude breaches by leaving to work on the Mega Corp. project.

If Client Corp. immediately sues Dude for the breach, a court would be most likely to:

• Enter an order compelling Dude to return to Client Corp. and complete their website in accordance with the contract terms
• Enter an order compelling Dude to pay Restitutionary damages to Client Corp. in the amount of $100,000
• Enter an order prohibiting Dude from performing the work for Mega Corp until such time as it would not cause him to breach his contract with Client Corp.
• Enter an order permitting Dude to continue with the Mega Corp. project and delay delivery of the Client Corp. work because his offered discount was more than equitable in the circumstances

Painter contracts with Landlord to repaint 100 apartments in her complex. The contract is for $100,000 and the work is to be completed within 30 days. The contract includes the following clause:

Delay - Liquidated Damages.Painter and Landlord agree that time is of the essence in performance of this contract and that in the event the work is not completed within 30 days, Landlord will suffer significant losses that are not readily ascertainable. Accordingly, the parties agree that the following liquidated damages shall be payable to Landlord in the event of delay: For delay of 1-3 days, $10,000; For delay of 4-6 days, $25,000; and, For any delay of 7 days or more, $99,000.

Painter begins the work promptly and finishes 95 of the apartments within 30 days. But, due to a jobsite injury, Painter is shut down on Day 30 and unable to work on the complex for 7 days. The next day, Painter completes the work in the remaining 5 apartments, completing the overall project 8 days late. When Painter presents his invoice for $100,000, Landlord refuses to pay anything more than $1,000, citing the liquidated damages clause.

If Painter sues landlord for payment, the court will most likely:

• Enforce the liquidated damages clause limiting Painter's payment to $1,000 because the parties freely negotiated this term
• Reject the liquidated damages clause and order Landlord to pay Painter the full $100,000 contract price less any actual damages Landlord can prove it incurred due to the delay
• Reject the liquidated damages clause and order Landlord to pay Painter the full $100,000 contract price because the delay was beyond Painter's control
• None of the above are likely to be ordered

Widget Co. contracts to purchase 1,000 gizmo cases from Parts Co. The contract price is $10/unit with delivery due within thirty days and payment on delivery. Due to a small fire in the Parts Co. plant, they are unable to deliver the gizmo cases on time. They promptly notify Widget Co. and Widget Co. is able to purchase the gizmo cases from another supplier for $12/unit.

If Widget Co. sues Parts Co., they will likely be awarded:

• $12,000
• $10,000
• $2,000
• $0

We've learned that punitive damages are not available for breach of contract unless the breach is conduct that is also a tort. What are the principal reasons for this policy? Do you think there are other circumstances in which the court should impose a punitive damage award to discourage promise breaking? (limit 500 words, better answers likely will be shorter)

Mary Ann and Ginger decide to buy a horse together. They enter a written contract that provides that each will pay 50% of the purchase price of the horse and 50% of all future costs for boarding, veterinary services, and other necessary goods and services to keep the horse in good condition for the duration of the horse's life. The future costs will be split and paid monthly. After one year of full compliance with the contract, Ginger repudiates and says she will no longer pay any monthly costs and Mary Ann can keep the horse.

If Mary Ann sues Ginger and asks the court to compel Ginger to continue to make the monthly payments, is she likely to succeed?

• Yes, because Mary Ann has no adequate remedy at law
• Yes, because Ginger's breach after partial performance is unfair to Mary Ann
• No, because courts do not grant specific performance for promises to pay money
• No, because Mary Ann is free to sell the horse if she cannot pay the upkeep

Motorist parked her car at EZ-Park, a large downtown valet parking garage. The ticket she received from the attendant includes the following terms printed conspicuously on the back.

No Liability.Motorists park at their own risk!EZ-Park disclaims all liability for injury or damage to motorists, their passengers, their vehicle, or any other property from all causes. EZ-Park's rates for parking are set in reliance upon this limitation of liability being fully enforceable. Any motorist who does not accept the limitation of liability provision must exit the parking facility immediately.

Motorist read the terms and parked anyway. While she was away, two of EZ-Park's employees took her car for a joy ride and caused significant damage to the front fender (repair cost $2,000). They also left the car unlocked while they had lunch and Thief stole Motorist's computer (valued at $1,000) from inside the car. Motorist later found out that similar incidents happen at EZ-Park every month.

If Motorist sues EZ-Park, do you think the court will enforce the limitation of liability provision?Do you think court should enforce this provision? Why or why not? (limit 500 words, better answers likely will be shorter)