PDQ Lube Center, Inc. v. Huber
Utah Court of Appeals
949 P.2d 792 (1997)
PDQ Lube Center (plaintiff) agreed to buy real property from Huber (defendant) for $125,000, with PDQ required to seek financing within specified deadlines and the property required to qualify for a loan through appraisal; an addendum required Huber to obtain environmental clearance and remove underground tanks from a former gas station upon PDQ's $4,000 cleanup deposit. Huber received the deposit but refused to remove the tanks after learning the previous owners wouldn't help, and PDQ, unable to meaningfully pursue financing or appraisal while the contaminated tanks remained, never completed a formal loan application or closed the transaction; the trial court found Huber breached good faith by refusing removal, that this prevented PDQ's performance, and ordered specific performance requiring Huber to obtain clearance and convey the property once PDQ tendered payment within 84 days of clearance; Huber appealed.
Whether a seller who refuses to perform a concurrent contractual obligation (removing contaminated tanks) breaches the covenant of good faith and fair dealing, and whether the buyer may still obtain specific performance despite not fully performing by the contractual closing date.