What is “specific performance?”
Real estate transactions are based on written agreements between buyers and sellers.
Such agreements typically have a number of clauses to assure that each party obtains certain benefits — basically the seller wants cash and the buyer wants the property.
Whatever the price and terms of the sale agreement, it is expected that both parties will work in good faith to assure that the transaction is successful.
But sometimes it happens that one party or the other either cannot go through with the contract, or elects not to honor the agreement.
In such instances, sale agreements often provide a number of remedies, such as the loss of a deposit, the right to sue for damages, and “specific performance.”
Specific performance means that a party to the sale agreement will be compelled by a court to go through with the transaction. While not a common event, specific performance may be one of the tools available when a sale agreement falls through for reasons of non-performance.
For specifics, see an attorney or legal clinic in your state.
© Copyright 