Liquidated damages clause in a contract


Problem: A liquidated damages clause in a contract for any sale of goods will not be enforced when:

a. actual damages would be easy to prove in the event of a breach

b. the amount specified is so large as to be a penalty

c. the amount specified is so low as to be uncomscionable

d. all of the above

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Business Law and Ethics: Liquidated damages clause in a contract
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