Madison Unifed High School District had plans to build a new high school. Madison awarded the contract for construction to Empire Builders Inc., which bid $2.6 million. The contract contained a liquidated damage clause that provided for payment of $1,500 a day for every day that competition was delayed beyond the expected 24-month construction period.
Could the liquidated damage clause be enforced? Explain.
Could the liquidated damage clause be enforced? Explain.
Yes. It should be able to since there was a signed contract.
ReplyDeleteYes, it can be enforced. It's a liquidated contract because It's made before an accident. It covers the possibility of an accident. If something occurs during the process and it wasn't finished on time, they would have to pay. That's how the contract works.
ReplyDeleteyes it could. it was stated in the contract. the damages included covers the cost of loss from the school. they can and will enforce it. hello by the way.
ReplyDeleteyes, the liquidated damage clause should be enforced.Liquidated damages cover the possibility of have damages toward the house/building, or whatever it maybe.If for some reason they didn't finish the building on time the company would have to pay.So the liquidated damage clause should be enforced.
ReplyDeleteIt can be enforced. The reason why it can be enforced is because in the contract it would cover all costs form the school. The contract is also liquidated because it was made before the accident. They would have had to pay for it if there was no contract in the makeing. the contract was fully made at the time.
ReplyDeleteYes It could be. Because it was stated in the signed contract. it also has a exact amount. so yes I do believe it can be enforced because it was in the contract.
ReplyDeleteYes the Liquidated Clause could be enforced. It could be enforced because it was a signed contract. If the company does not finish on time as planned it will be enforceable. This clause helps to cover the loses that the school would be losing if it was not finished on time.
ReplyDeleteYes, Because they signed the contract. It was stated in the contract they signed. It had the amount of the liquidated clause.
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