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When can a buyer demand specific performance from a seller?
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Commercial transaction
Portrait of King Louis XIV, by Charles Le Brun, c. 1655.
In the context of commercial transactions, the ability of a buyer to demand specific performance—a legal remedy requiring a party to fulfill the precise terms of a contract—varies significantly depending on the legal system.12
- Anglo-American Law: Generally, buyers are not permitted to sue for the delivery of merchandise. Instead, they are expected to purchase substitute goods in the market and seek damages from the original seller for any price difference or additional losses. A buyer is entitled to a decree for specific performance only when damages are considered an inadequate remedy, specifically when the buyer cannot obtain substitute goods in the market.3
- European Civil Law: In many continental European systems, a buyer may technically demand delivery at any time. However, in practice, merchants rarely pursue this; they typically follow the same market-based approach as their Anglo-American counterparts, purchasing substitute goods and suing for the resulting damages.3
- Unique Circumstances: Regardless of the general legal framework, specific performance may be required when the subject of the contract is unique or holds value that cannot be measured by market standards, such as an item with significant sentimental value.2