Reference no: EM133410835
In Chapter 17, we learned about the variety of remedies available in the event that one party to a contract breaches the terms of the contract. In a very limited set of cases, a court will deem it appropriate to order specific performance that is, ordering the breaching party to perform the acts promised in the contract. The courts have the discretion to essentially force a party to comply with the terms of a contract, but only when the subject matter of the contract is unique.
You are a commercial real estate broker in New York City and you are slowly, but surely making a name for yourself among the most successful companies in the region. One of your clients, a developer named Leonard S. Kynard, has been working on a deal to sell a number of buildings zoned for mixed-use development to the Allman Brothers Group, Ltd. The closing occurred yesterday afternoon. You had a scheduling conflict, so one of your associates attended on your behalf. It is your understanding, however, that both parties did sign the sales agreement at the closing. You are excited to receive a final copy of all closing documents later today. You are also excited about the large commission that you'll be receiving for your months of hard work negotiating this deal.
As you are awaiting the documents' delivery, you notice that the red light on your office phone is blinking, signaling a new voicemail. The voicemail is from Mr. Kynard and arrived overnight. He indicates that he has had a complete change of heart about working with the Allman Brothers Group! "I just can't follow through on this deal," he sighs before ending the voicemail.
After completing your factual review and research, please prepare a memo to your manager, Marshall Tucker, about how you intend to advise Mr. Skynard about his options at this point. Your memo should include a brief recitation of the facts that you believe to be most relevant, an explanation of the contractual remedy that might be ordered if the Allman Brothers Group decides to litigate the case, and what your recommended course of action would be.