Fine properties, inc. , negotiates with general maintenance corporation to include a liquidated damages clause in their contract. To be enforceable, at the time of the contract, an estimate of the damages from a breach must be.

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02-08-2022
Business

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Fine properties, inc. , negotiates with general maintenance corporation to include a liquidated damages clause in their contract. To be enforceable, at the time of the contract, an estimate of the damages from a breach must be.

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Tutorconsortium363 Tutorconsortium363 · Answer 1 · 2022-08-06T09:39:34-04:00

To be enforceable, an estimate of the damages from a breach must be difficult.

Liquidated damages clause

A liquidated damages clause establishes a predetermined quantity of money that must be paid as damages for disappointment to act under a contract. The liquidated damages is to be the parties' best estimate of the damages that will be caused by a breach at the time they sign the contract.

A liquidated damages clause iis unenforceable in 2 circumstances:

(1) if the damages streaming from a breach of the contract were ascertainable at the time of implementation;

or

(2) if the damages fixed were conspicuously undue to the potential losses.

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Liquidated damages clause

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