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Legal Topics > Business > Commercial Law and Contracts > Breach of Contract

What Is Specific Performance?

Specific Performance is a court order stipulating that a party must fulfill their part of a contract.  This order comes about mainly when parties agree to a contract, and one party then refuses to complete or even start his part of the contract.   

When Do Courts Tend to Issue a Specific Performance Order?

Specific performance is commonly ordered when unique items are being exchanged such as real estate, antiques, heirlooms, or artwork.       

Do Courts Always Order Specific Performance when One Side Refuses to Fulfill Part of their Contract?

Specific performance is generally a legal tool that courts resort to only after exhausting all other legal possibilities first.  Most courts are generally reluctant to issue specific performance for the sale of personal property. Usually money damages equal to the value of the goods are awarded instead.  In addition, performance of services such as massages or house paintings are rarely ordered by the court because it is too difficult for the court to oversee the performance.

What Do I Need to Prove to Obtain Specific Performance?

The elements needed in order to obtain specific performance include:

  • A valid and enforceable contract
  • A breach of that contract
  • Legal damages must be inadequate (for example: if the parties contracted to produce a unique sculpture that only the breaching party could create, then the court will likely enforce specific performance instead of monetary damages)
  • Enforcement of the court¿s decree must be practical
  • No defenses apply

Are There Any Defenses that Would Cause a Court Not to Grant Specific Performance?

Specific performance may be denied if any of the elements needed for specific performance are not met.  In addition, a breaching party may invoke a number of affirmative defenses against the issuance of specific performance.  These defenses include that the:

  • Contract Does Not Meet a Statute of Frauds Requirements ¿ Some contracts are limited by duration and writing requirements
  • Contract is Limited by Laches ¿ Some contracts are barred from being enforced because the party seeking to enforce the contract has been involved in neglect or unreasonable delay in asserting a suit.
  • Contract is Tainted by Unclean Hands ¿ Courts of law will not help those who seek redress if they have participated in something immoral or unethical which is the subject of the dispute
  • Enforcement of the Contract Would Bring Undue Hardship ¿ If the performance ordered would create undue hardship or burden on the defendant then it may not be ordered
  • Contract Involved Mistake or Innocent Misrepresentation ¿ An unintentional error by the defendant in facts and/or the law when the two parties made the contract may allow the defendant not be ordered to specifically perform his contractual duty

Do I Need to Consult an Experienced Attorney Regarding this Issue?

Contract law can be quite complicated. Every state has different lawsuit filing procedures and deadlines for breach of contract claims. An attorney can help a party conform to the applicable procedural rules and collect all the proper documents to prove a breach. Furthermore, an attorney can help you negotiate the terms of a contract before you make or accept an offer.
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