How can it be argued that the inclusion of a liquidated damages provision for late completion of a project simplifies matters for the contracting parties?
What will be an ideal response?
Failure to complete a project within the contractually agreed construction
duration constitutes a breach of the contract. Where a breach of contract exists, the
contract viability itself comes into question. A breach of contract generally obligates one
party (the breaching party) to pay damages to the other. Assessing the amount of
damages is difficult. The inclusion of liquidated damages provisions in contracts
stipulates the damages that are to be paid for the late completion of a project. Thus, the
project construction effort can continue and the compensation due the owner for late
completion is not an issue, the amounts due having been established in the contract.
You might also like to view...
Explain what a control joint in a concrete slab-on-ground is and its purpose.
What will be an ideal response?
When alleles are heterozygous, the effect of one gene takes priority over the other
Indicate whether the statement is true or false
____________________ is the weakest way of fastening wood
Fill in the blank(s) with the appropriate word(s).
Round 733. 614 732 to the nearest thousandth
What will be an ideal response?