Remedies in equity include injunctions and decrees of specific performance.
Corporations can be good citizens by promoting goals that society deems worthwhile.
Owen buys a used Prius from Quality Motors, Inc., paying $1,000 down and agreeing
to pay off the balance in thirty-six monthly payments of $200 each. The terms of the
agreement call for Owen to make a payment on or before the first of each month,
beginning March 1. During the first six months, Quality receives a $200 payment
before the first of each month. Starting in September, however, and continuing for the
subsequent five months, Owen’s payment is never made until the fifth of the month.
Quality accepts and cashes the payment check each time. Before the next payment is
due, Quality decides that it is no longer willing to accept late payments. Can Quality
sue Owen immediately for breach? Can Owen continue to make late payments without
liability? Explain.