Copylease Corp. of America (Copylease) sued Memorex Corp. (Memorex) seeking specific performance of a distribution contract.
A buyer can get specific performance if the seller’s product is the best on the market.
Copylease Corp. of America (Copylease) entered into a contract with Memorex Corp. (Memorex) for Copylease to be the exclusive distributor of Memorex’s products. When Memorex breached the contract, Copylease sued seeking specific performance.
Whether a buyer can get specific performance if the seller’s product is the best on the market?
Yes. Testimony is required to determine whether money damages would be insufficient for Copylease.
A buyer can get specific performance if the seller’s product is the best on the market. Uniform Commercial Code (UCC) § 2-716 allows specific performance where goods are unique or money damages are inadequate.Specific performance is appropriate where contracts are calling for a quantity of a specific item and there is limited availability of the item.