Question
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
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
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started