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CMA Foundation · Fundamentals of Business Laws and Business Communication · Breach of Contract and Remedies for Breach of Contract

Ravi Traders agrees to sell a unique antique clock to Mehta for Rs. 80,000 but then refuses to deliver it. Which remedy is most suitable if Mehta wants the clock itself and not money?

Specific performance is the suitable remedy. The court directs Ravi Traders to actually deliver the unique antique clock, because money damages cannot replace such an item. Quantum meruit is a claim for the value of work done, not an order to perform.

  1. ASpecific performance of the contractCorrect
  2. BQuantum meruit
  3. CLiquidated damages only
  4. DRescission of the contract

Explanation

Specific performance is a court order directing the defaulting party to carry out the contract as promised. It suits unique goods because money damages cannot replace them. Quantum meruit is a claim for payment for work already done, so it does not give Mehta the clock.

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