Show Summary Details
JC Smith's The Law of Contract

JC Smith's The Law of Contract (2nd edn)

Paul S. Davies
Page of

Printed from Oxford Law Trove. Under the terms of the licence agreement, an individual user may print out a single article for personal use (for details see Privacy Policy and Legal Notice).

date: 03 October 2022

p. 42028. Agreed remedieslocked

p. 42028. Agreed remedieslocked

  • Paul S. DaviesPaul S. DaviesProfessor of Commercial Law, UCL

Abstract

This chapter focusses on remedies agreed by the parties for breach of contract. Parties may wish to include a term in the contract which dictates what should happen in the event of breach of contract. If the term states that a certain amount of money should be paid upon breach, that term might be valid as a liquidated damages clause or unenforceable as a penalty. If the amount chosen is a genuine pre-estimate of loss, or is ‘commercially justified’, then it is likely to be valid. If the defaulting party had already paid money to the innocent party as a deposit, the innocent party may be able to forfeit that deposit. A term stipulating that specific performance or an injunction will be granted upon breach will not bind the court. However, the court may take into account such a term when deciding whether to exercise its equitable discretion.

You do not currently have access to this chapter

Sign in

Please sign in to access the full content.

Subscribe

Access to the full content requires a subscription