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Liquidated Damages in Construction Form

Liquidated Damages in Construction Form

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welcome to county office your ultimate guide to local government services and public records let's get started what are liquidated damages in contract law liquidated damages are predetermined amounts specified in a contract they are established to address potential breaches of the agreement parties agree on these amounts at the time of contract formation the purpose is to provide a clear remedy in case of non-performance this avoids the need for lengthy litigation to determine damages after a breach occurs liquidated damages must be reasonable and not punitive courts typically enforce them if they meet this Criterion they must reflect a genuine attempt to estimate potential damages if the amount is excessively High it may be deemed a penalty and unenforcable these Provisions are commonly found in construction contracts and service agreements they help manage risks associated with project delays and non-compliance liquidated damages encourage timely performance by imposing Finan

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