A clause in a contract that specifies the amount of damages due from a breach is a liquidated damages clause.

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A liquidated damages clause is a provision in a contract that specifies the amount of damages that must be paid in the event of a breach by one of the parties. This amount is agreed upon in advance by the parties and is intended to provide a measure of certainty and predictability in the event of a breach.

A Clause in a Contract That Specifies the Amount of Damages