Damages to be awarded to an injured party in case of a breach of contract may be determined by the parties in advance and stated in the contract. These damages are called

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Liquidated damages are damages whose amount the parties designate during the formation of a contract for the injured party to collect as compensation upon a specific breach. This pre-determination is often used in situations where actual damages may be difficult to calculate.

Damages to Be Awarded to an Injured Party in Case