A reasonable estimation of the damages owed in the event of a breach may be stipulated by the parties to a contract as liquidated damages. This amount should OA. Maintain legal equality between the parties. B. Be intended as a penalty imposed on the breaching party. C. Result from a good faith effort to estimate probable damages. D. Provide restitution to the nonbreaching party.
A reasonable estimation of the damages owed in the event of a breach may be stipulated by the parties to a contract as liquidated damages. This amount should OA. Maintain legal equality between the parties. B. Be intended as a penalty imposed on the breaching party. C. Result from a good faith effort to estimate probable damages. D. Provide restitution to the nonbreaching party.
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Transcribed Image Text:A reasonable estimation of the damages owed in the event of a breach may be stipulated by the parties to a
contract as liquidated damages. This amount should
A. Maintain legal equality between the parties.
B.
Be intended as a penalty imposed on the breaching party.
C. Result from a good faith effort to estimate probable damages.
OD. Provide restitution to the nonbreaching party.
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