Illustrate a valid liquidated damages clause


Question: Which one of the following criteria is not considered by a court in distinguishing a valid liquidated damages clause from an invalid penalty clause? Question options: a) Whether the parties intended to provide for damages rather than a penalty. b) Whether the injury caused by the breach was uncertain or difficult to quantify. c) Whether the sum stipulated was a reasonable pre-estimate of the likely loss. d) Whether the sum stipulated was expressed by a liquidated sum.

 

 

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Business Law and Ethics: Illustrate a valid liquidated damages clause
Reference No:- TGS03419028

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