Jamie contracts to sell a residential duplex to Keril.The contract pro?vides that if Jamie does not close the deal by September 15,she must pay Keril one-half of the duplex's sale price.This provision is not enforceable because it is

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The clause in the contract is a penalty clause. It imposes a disproportionate and unreasonable amount of damages on Jamie if she fails to close the deal by September 15. The purpose of the clause appears to be to force Jamie to comply with the contract, rather than to compensate Keril for any actual losses suffered. Penalty clauses are generally unenforceable because they are contrary to public policy.

Jamie Contracts to Sell a Residential Duplex to Keril