A week before a transaction closed, the seller changed her mind and decided to not go through with the sale, so the buyer filed a lawsuit to make the seller sell. What is this called?

A week before a transaction closed, the seller changed her mind and decided to not go through with the sale, so the buyer filed a lawsuit to make the seller sell. What is this called?

• A. Accepting Liquidated Damages
• B. Accepting Partial Performance
• C. Suing for Damages
• D. Suing for Specific Performance

Answer: (D)

Specific performance is the remedy at issue here. It’s an equitable action that asks the court to compel the seller to complete the sale, because real estate is a unique asset and money alone often can’t replace it. When the seller backs out before closing, a buyer who is ready to proceed can seek the court’s help to enforce the contract and finish the transaction. This fits well when the property has distinctive value or characteristics that make it difficult to substitute with another property. In contrast, liquidated damages would require a pre-set penalty in the contract, partial performance wouldn’t fulfill the full agreement, and suing for damages seeks monetary compensation rather than forcing the sale.

Specific performance is the remedy at issue here. It’s an equitable action that asks the court to compel the seller to complete the sale, because real estate is a unique asset and money alone often can’t replace it. When the seller backs out before closing, a buyer who is ready to proceed can seek the court’s help to enforce the contract and finish the transaction. This fits well when the property has distinctive value or characteristics that make it difficult to substitute with another property. In contrast, liquidated damages would require a pre-set penalty in the contract, partial performance wouldn’t fulfill the full agreement, and suing for damages seeks monetary compensation rather than forcing the sale.