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Brief Fact Summary.
Copylease Corp. of America (Copylease) sued Memorex Corp. (Memorex) seeking specific performance of a distribution contract.
Synopsis of Rule of Law.
A buyer can get specific performance if the seller’s product is the best on the market.
A contract which requires a continuing series of acts and demands cooperation between the parties for the successful performance of those acts is not subject to specific performance.
View Full Point of Law
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.
Issue.
Whether a buyer can get specific performance if the seller’s product is the best on the market?
Held.
Yes. Testimony is required to determine whether money damages would be insufficient for Copylease.
Discussion.
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.