Sandusky Properties v. Aveni

In Sandusky Properties v. Aveni (1984), 15 Ohio St.3d 273, 276, 15 Ohio B. 408, 473 N.E.2d 798, the Supreme Court of Ohio addressed the issue of damages payable in specific performance actions. Quoting from Annotation (1949), 7 A.L.R. 2d 1211-1212, the court set forth the rule as follows: "'When specific performance is granted of a contract to convey real property, the court will enforce the equities of the parties in such manner as to put them as nearly as possible in the position they would have occupied had the conveyance been made when required by the contract. It will compensate the purchaser for any loss of the use of the property during the delay by awarding him the rental value of it, or the net rents and profits of it, for the period. It will compensate the vendor for any loss of the use of the purchase money during the delay by awarding him the appropriate interest for the proper period. To either party it will give credit for such expenditures in relation to the property, or otherwise occasioned by the delay, as should be borne by the other.'" This statement of the law "is an attempt to place the parties in the relative position that they would have been in had the sale of the real estate proceeded according to the agreement. The seller should be reimbursed for his added expenses, as well as the loss of his use of capital funds. Conversely, the purchaser should have the benefits of the property that he would have received had he been in possession." Id. at 276.