Atw103 Business Law

2b) Inform Ben of the temporary relief available to him as provided by the Specific Relief Act.

In this case is specific performance and injunction. Ben offered a contract to Tan to sing at a nightclub in Penang for four months. One of the conditions of the contract was that Tan are not allowed to sing at any others clubs in Penang within four months period of the contract. Tan agreed to the condition and entered into the contract with Ben. But after performing at Ben’s nightclub for a month, Tan received a better offer from Ben’s rival, Tony and started singing at Tony’s nightclub on the next day.

Specific performance defined as a discretionary order granted by the court directing a person to carry out their obligations under the contract. It is not generally used in breach of contract actions unless damages prove to be inadequate. For example, a hospital is interested in the fulfilment of its requirements and not in receiving compensation from a failed supplier. Thus there was a need for a remedy which would compel a defaulting contractor to actually perform his contract.

Injunctions is a discretionary court order. Unlike specific performance, this is a court order restraining a party from breaking their contract or from committing a wrongful act (an order prohibiting performance. For example,

According to section18(1) of specific relief act 1950, any person suing for the specific performance of a contract may also ask for compensation for its breach, either in addition to, or in substitution for, its performance. This means that the party who are enter the contract have the obligation to fulfil the contract. If the parties breach the contract, he or she may ask for compensation for its breach. It stated in the section 14 of the specific relief act 1950, where a party to a contract is unable to perform the whole of his part of it, and the part which must be left unperformed forms a considerable portion of the whole, or does not admit of compensation in money, he is not entitled to obtain a decree for specific performance. But the court may, at the suit of the other party, direct the party in default to perform specifically so much of his part of the contract as he can perform, provided that the plaintiff relinquishes all claims to further performance, and all right to compensation either for the deficiency, or for the loss or damage sustained by him through the default of the defendant.

Section 11(2) of specific relief act 1950 state that unless and until the contrary is proved, the court shall presume that the breach of a contract to transfer immovable property cannot be adequately relieved by compensation in money, and that the breach of a contract to transfer movable property can be thus relieved. Besides that, based on the injunction is a discretionary court order. Unlike specific performance, this is a court order restraining a party from breaking their contract or from committing a wrongful act (an order prohibiting performance) and will not be awarded if damages are an adequate remedy. Based on section 51(1) of the specific relief act 1950, temporary injunctions are such as are to continue until a specified time, or until the further order of the court. They may be granted at any period of a suit, and are regulated by the law relating to civil procedure. This means that the parties who are breach the contract they may be granted at any period of a suit by the law.