Equitable Remedies and Remedies at Law

Equitable Jurisdiction

Required for relief to be awarded. The dispute must be one traditionally cognizable in equity.

Legal Remedies - Compensatory Damages Generally

This remedy provides an award of damages in the form of a money judgment to the aggrieved party to compensate for any loss or injury. It's recognized as a substitutionary form of relief in that it gives the plaintiff money as a form of compensation.

Equitable Remedies - How are injunctions enforced?

Through a court's contempt power.

Equitable Remedies - When is an injunction ordered?

When necessary to prevent an irreparable harm.

Legal Remedies - Implied-in-Fact Contract - Quantum Meruit

"Quantum Meruit" - "for so much as he deserves" Was the proper recovery at common law for breach of an employment contract to cover services rendered. It's recovery of exactly what's owed.

Legal Remedies - Liquidated Damages - 2 Part Test for Validity

(1) damages very difficult to ascertain at the time of K formation, and (2) reasonable forecast of what damages would be. If they're too high, they'll be deemed a penalty and won't be enforced.

Legal Remedies - Compensatory Damages for Torts Often Include... (4)

1. Actual/medical expenses 2. Pain and suffering 3. Loss 4. Emotional harm

Equitable Remedies - Grounds for Rescission

1. Mutual mistake in formation of the contract affecting the basis of the bargain. 2. Unilateral mistake where the other party knew or should have known of the mistake 3. Misrepresentation - plaintiff must show materiality and actual, reasonable reliance. 4. Illegality 5. Lack of Capacity 6. Impossibility of Performance 7. Duress

Equitable Remedies - What is an injunction? Who does it bind?

A court order directed to a person or entity to do (mandatory injunction) or not to do (prohibitory injunction) a particular act. It binds the parties, as well as their officers, agents, servants, employees, and attorneys, and those persons or entities in active concert or participation with them so long as such persons and entities receive acvtual notice of the injucntion.

Legal Remedies - Implied-in-Fact Contract

Actual contracts that are created by the conduct of the parties, e.g., raising one's hand at an auction to bid for goods.

Legal Remedies - Quasi-Contract

Aka contracts implied-in-law. Restitutionary actions designed to prevent unjust enrichment of the defendant. They cover situations where the parties have not entered into a contract but the court imposes an obligation on the part of the defendant to repay the plaintiff "for goods sold and delivered," or "for work and labor performed," or "for money had and received."

Equitable Remedies - Quiet Title Action

Allows a claimant to resolve uncertainty or remove clouds to title in real property.

Legal Remedies - Liquidated Damages - Definition

Damages provided for by contract b/w the parties. They're appropriate when the parties anticipate that a breach of the underlying contract may odccur but that damages in the event of such a berach would be difficul, if not impossible, to calcuslate. (Could be a deposit in a contract for sale of real property - if buyer can't get mortgage, seller keeps deposit.) If clause is valid, only liquidated damages are available, and cannot be used as a penalty clause

Legal Remedies - Types of Damages (4)

Damages: 1) Compensatory - direct loss from breach of contract 2) Consequential - indirect foreseeable consequences 3) Liquidated - Damages agreed to in advance in case of breach 4) Punitive - the purpose is to punish

Equitable Remedies - Ejectment Action

Ejectment is the name of the action to recover possession of a piece of real property.

Equitable Remedies - Reformation

Equitable remedy by which a court modifies or alters a written instrument (e.g., contract or deed) to make it conform to the actual intent of the parties.

When does equitable jurisdiction exist?

It exists ONLY when there is no adequate remedy at law (monetary damages).

Equitable Remedies - Innocent Misrepresentation

Misrepresentation made without knowledge of its falsity but with due care. Not an actionable tort so there's no recovery for money damages but renders the contract voidable - aka rescission is available. To void the contract, plaintiff must show that the misrepresentation was material and reasonable reliance on the misrepresentation.

Equitable Remedies - When is specific performance not available?

Personal services contracts, with the exception of negative injunctions to enforce restrictive covenants.

Equitable Remedies - Effect of Rescission

Puts the parties back in the position they were in before the contract and make it as if the contract was never entered into.

Legal Remedies - Compensatory Damages in Contracts

The objective of compensatory damages is not only to compensate for loss but also to protect the plaintiff's expectation interest by awarding a sum of money equivalent to what he would have received had the contract been performed.

Legal Remedies - Compensatory Damages in Torts

The objective of compensatory damages is to make the plaintiff whole by awarding money to make up for his loss or injury.

Equitable Remedies - When is specific performance ordered?

when the item in the contract is unique (often, but not only, with land).