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"equity Abhors A Forfeiture."

A FORFEITURE is a total loss of a right or a thing because of the failure to do something as required. A total loss is usually a rather stiff penalty. Unless a penalty is reasonable in relation to the seriousness of the fault, it is too harsh. In fairness and good conscience, a court of equity will refuse to permit an unreasonable forfeiture. This maxim has particularly strong application to the ownership of land, an interest for which the law shows great respect. Title to land should never be lost for a trivial reason— for example, a delay of only a few days in closing a deal to purchase a house.

Generally equity will not interfere with a forfeiture that is required by statute, such as the loss of an airplane illegally used to smuggle drugs into the country. Unless the statute violates the DUE PROCESS requirements of the Constitution, the penalty should be enforced. "Equity abhors a forfeiture" does not overcome the maxim that "equity follows the law."

Neither will equity disregard a contract provision that was fairly bargained. Generally it is assumed that a party who does most of what is required in a business contract and does it in a reasonable way, should not be penalized for the violation of a minor technicality. A contractor who completes work on a bridge one day late, for example, should not be treated as though he or she had breached the entire contract. If the parties, however, include in their agreement an express provision, such as time is of the essence, this means that both parties understand that performance on time is essential. The party who fails to perform on time would forfeit all rights under the contract.

Additional topics

Law Library - American Law and Legal InformationFree Legal Encyclopedia: Marque and Reprisal to MinisterMaxim - The Foundations Of Equity, "he Who Seeks Equity Must Do Equity.", "he Who Comes Into Equity Must Come With Clean Hands." - "Equity follows the law.", "Equity acts specifically.", "Equity regards substance rather than form."