A buyer and seller execute a purchase agreement in Birmingham, Alabama. The seller subsequently refuses to close, and the buyer seeks to compel the sale. Which legal remedy allows the buyer to force the seller to complete the transaction as agreed?
Correct Answer
D) Specific performance, which compels the seller to convey the property as contracted
Specific performance is the remedy that allows a buyer to compel a seller to complete a real estate transaction as agreed. Because real property is considered unique under Alabama law, monetary damages are often deemed inadequate, making specific performance an appropriate equitable remedy when a seller wrongfully refuses to close.
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Related Topics & Key Terms
Key Terms:
Related Concepts
Contract termination occurs when a contract is ended or discharged, releasing both parties from their obligations. A contract can be terminated through performance, mutual agreement, operation of law, or breach.
A counteroffer is a response to an original offer that changes one or more terms of the offer, effectively rejecting the original offer and creating a new offer. The party who makes the counteroffer becomes the new offeror.
Earnest money is a deposit made by the buyer at the time of the offer or shortly after to demonstrate good faith and serious intent to purchase the property. It is also called a good faith deposit.
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