Fact Pattern 13-1
Bella Homes enters into a contract to buy 132 acres from Watershed Holdings to subdivide and sell in fifth-acre lots for Pristine Meadow,a residential development.
-Refer to Fact Pattern 13-1.If Watershed breaches the contract,Bella's remedy would most likely be
A)a certain ratio of the amount that Watershed has in liquidated funds.
B)a percentage of Watershed's unrealized profit.
C)the difference between the land's contract and market prices.
D)specific performance.

Question

Fact Pattern 13-1 
Bella Homes enters into a contract to buy 132 acres from Watershed Holdings to subdivide and sell in fifth-acre lots for Pristine Meadow,a residential development.
-Refer to Fact Pattern 13-1.If Watershed breaches the contract,Bella's remedy would most likely be
A)a certain ratio of the amount that Watershed has in liquidated funds.
B)a percentage of Watershed's unrealized profit.
C)the difference between the land's contract and market prices.
D)specific performance.

Quizplus · Accepted Answer

Bella Homes' remedy for Watershed's breach of contract would most likely be specific performance, which would require Watershed to perform its contractual obligation of selling the 132 acres to Bella Homes. This remedy would be appropriate because the land is unique and cannot be easily replaced or compensated by monetary damages.