Contract Practice - Liquidated Damages

3 important questions on Contract Practice - Liquidated Damages

What are liquidated damages?

Pre-agreed damages payable for delay beyond the completion date.

Why are liquidated damages used?

To avoid complex proof of actual loss.

When can liquidated damages become unenforceable?

When they are considered a penalty rather than a genuine pre-estimate of loss.

The question on the page originate from the summary of the following study material:

  • A unique study and practice tool
  • Never study anything twice again
  • Get the grades you hope for
  • 100% sure, 100% understanding
Remember faster, study better. Scientifically proven.
Trustpilot Logo