The differences between “liquidated damages” and a “penalty” for the late completion of the contract.

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Answer 1

Question

Chapter 3, Problem 1RQE

To determine

The differences between “liquidated damages” and a “penalty” for the late completion of the contract.

Expert Solution & Answer

Explanation of Solution

The difference between the “liquidated damages” and a “penalty” for the late completion of the contract is as follows:

The difference between the former and the latter is that the liquidated damages is the sum of money that the concerned project owner loses for not completing the project, whereas the penalty for the late completion of the contract simply means that the contractor needs to pay a fine for not completing the work on time or rather completing the work after the due time. It is unrelated. It differs from liquidated damages, which can be shown by the project owner for receiving the finished work late.

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00:45

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Answer 2

Question

Chapter 3, Problem 1RQE

To determine

The differences between “liquidated damages” and a “penalty” for the late completion of the contract.

Expert Solution & Answer

Explanation of Solution

The difference between the “liquidated damages” and a “penalty” for the late completion of the contract is as follows:

The difference between the former and the latter is that the liquidated damages is the sum of money that the concerned project owner loses for not completing the project, whereas the penalty for the late completion of the contract simply means that the contractor needs to pay a fine for not completing the work on time or rather completing the work after the due time. It is unrelated. It differs from liquidated damages, which can be shown by the project owner for receiving the finished work late.

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00:45

Answer 3

Question

Chapter 3, Problem 1RQE

To determine

The differences between “liquidated damages” and a “penalty” for the late completion of the contract.

Expert Solution & Answer

Explanation of Solution

The difference between the “liquidated damages” and a “penalty” for the late completion of the contract is as follows:

The difference between the former and the latter is that the liquidated damages is the sum of money that the concerned project owner loses for not completing the project, whereas the penalty for the late completion of the contract simply means that the contractor needs to pay a fine for not completing the work on time or rather completing the work after the due time. It is unrelated. It differs from liquidated damages, which can be shown by the project owner for receiving the finished work late.

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00:45

Answer 4

Question

Chapter 3, Problem 1RQE

To determine

The differences between “liquidated damages” and a “penalty” for the late completion of the contract.

Expert Solution & Answer

Explanation of Solution

The difference between the “liquidated damages” and a “penalty” for the late completion of the contract is as follows:

The difference between the former and the latter is that the liquidated damages is the sum of money that the concerned project owner loses for not completing the project, whereas the penalty for the late completion of the contract simply means that the contractor needs to pay a fine for not completing the work on time or rather completing the work after the due time. It is unrelated. It differs from liquidated damages, which can be shown by the project owner for receiving the finished work late.

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00:45

Answer 5

Chapter 3, Problem 1RQE

To determine

The differences between “liquidated damages” and a “penalty” for the late completion of the contract.

Expert Solution & Answer

Explanation of Solution

The difference between the “liquidated damages” and a “penalty” for the late completion of the contract is as follows:

The difference between the former and the latter is that the liquidated damages is the sum of money that the concerned project owner loses for not completing the project, whereas the penalty for the late completion of the contract simply means that the contractor needs to pay a fine for not completing the work on time or rather completing the work after the due time. It is unrelated. It differs from liquidated damages, which can be shown by the project owner for receiving the finished work late.

Answer 6

Chapter 3, Problem 1RQE

To determine

The differences between “liquidated damages” and a “penalty” for the late completion of the contract.

Expert Solution & Answer

Explanation of Solution

The difference between the “liquidated damages” and a “penalty” for the late completion of the contract is as follows:

The difference between the former and the latter is that the liquidated damages is the sum of money that the concerned project owner loses for not completing the project, whereas the penalty for the late completion of the contract simply means that the contractor needs to pay a fine for not completing the work on time or rather completing the work after the due time. It is unrelated. It differs from liquidated damages, which can be shown by the project owner for receiving the finished work late.

Answer 7

Chapter 3, Problem 1RQE

To determine

The differences between “liquidated damages” and a “penalty” for the late completion of the contract.

Answer 8

Expert Solution & Answer

Explanation of Solution

The difference between the “liquidated damages” and a “penalty” for the late completion of the contract is as follows:

The difference between the former and the latter is that the liquidated damages is the sum of money that the concerned project owner loses for not completing the project, whereas the penalty for the late completion of the contract simply means that the contractor needs to pay a fine for not completing the work on time or rather completing the work after the due time. It is unrelated. It differs from liquidated damages, which can be shown by the project owner for receiving the finished work late.