Wednesday, November 25, 2015

Chapter 10 # two

When a breach of contract occurs, reasonable efforts must be made to mitigate the losses. If money damages (legal remedies) are inadequate to compensate for the injury, specific performance or an injunction (equitable remedies) are available to the injured party. Equitable remedies are more flexible as they do not have to follow precedent. Specific performance is a court order requiring who created the wrong to fulfill their obligations in the contract. This may mean simply finishing a job or service. An injunction is a court order that requires a party to perform or refrain from performing certain acts. A preliminary injunction or a temporary injunction may be used while the court decides the fate of the parties involved. This may be used to aid in a no compete clause. Equitable remedies are used when monetary damages are to difficult to figure. The compensation used to fix a breach of contract is up to the discretion of the court.

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