Viewing: liquidated damages

Revisiting Liquidated Damages

Last week I discussed a case in which¬†a Missouri appellate court upheld personal guarantees when the purported guarantors had signed a promissory note under the words "Personal Guaranty and Acceptance of Terms." In that same case, the court held that a "late fee" was an unenforceable penalty, rather than an enforceable liquidated damages clause. I've […] Read More

Liquidated Damages Clause Example

People often come to the blog looking for a sample liquidated damages clause. Although I have a nice little piece explaining liquidated damages provisions and cautioning people to avoid including penalty provisions in their contracts, I haven't provided sample language. Liquidated damages clauses should be tailored to the specific situation -- this is particularly important […] Read More

Liquidated Damages Provisions Can Be Your Friend, But Don’t Overreach

Liquidated damages provisions can be a useful way to ensure that you have a remedy if the other party to a contract fails to live up to its end of the bargain. When things go south in a commercial relationship, proving that a breach of the contract has occurred is only half the battle; the […] Read More