Specific Performance Vs Agreement

Specific Performance vs Agreement: What You Need to Know

In legal disputes involving contracts, the remedies available to aggrieved parties can vary. Two common remedies are specific performance and agreement, but what do these terms mean and how do they differ? As a professional, I have outlined some important information on specific performance vs agreement below.

What is Specific Performance?

Specific performance is a legal remedy where a court orders a party to fulfill its contractual obligations as stated in the contract. This remedy is typically sought when the subject matter of the contract is unique or rare, making monetary compensation insufficient. For example, if a buyer contracted to purchase a one-of-a-kind artwork from a seller, but the seller changed their mind and refused to sell it, the buyer could seek specific performance to force the seller to fulfill the contract and sell the artwork.

What is Agreement?

An agreement is a legal settlement between parties to a dispute that resolves the issue without the need for a court order. This remedy is often used when both parties agree to a change in the contractual terms or to a different resolution outside of the terms of the contract. For example, if a buyer contracted to purchase a specific quantity of goods from a seller, but the seller was unable to deliver the exact quantity, the parties could agree to a different quantity or an alternative delivery schedule.

How Do They Differ?

The key difference between specific performance and agreement is that specific performance is a court-ordered remedy, while agreement is a settlement reached by the parties without a court order. Specific performance is often used when the contract involves unique or rare subject matter, whereas agreement can be used for a wide range of contractual disputes. Additionally, specific performance is a remedy sought when one party seeks to enforce the terms of the contract, while agreement is a remedy sought when both parties want to find a resolution that works for everyone.

In Summary

In conclusion, specific performance and agreement are two distinct legal remedies that can be used to resolve contractual disputes. Specific performance is a court-ordered remedy sought when the subject matter of the contract is unique or rare, and one party seeks to enforce the terms of the contract. Agreement, on the other hand, is a settlement reached by the parties without a court order, typically used when both parties want to find a resolution that works for everyone. Understanding the difference between these two remedies can help parties determine the appropriate course of action in the event of a contractual dispute.