Fact Pattern 18-B1
Bella Homes enters into a contract to buy 132 acres from Watershed Holdings to subdivide and sell in fifth-acre lots for Pristine Acres,a residential development.
-Refer to Fact Pattern 18-B1.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 18-B1 
Bella Homes enters into a contract to buy 132 acres from Watershed Holdings to subdivide and sell in fifth-acre lots for Pristine Acres,a residential development.
-Refer to Fact Pattern 18-B1.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's remedy for Watershed's breach of contract would most likely be specific performance, which would require Watershed to fulfill its duties under the contract by transferring ownership of the 132 acres to Bella Homes. This is the most appropriate remedy because the land is unique, and damages alone may not adequately compensate Bella for the loss of the opportunity to subdivide and sell the land for development.