A Construction Contractor Entered into a Contract to Build a Family

question 21

Multiple Choice

A construction contractor entered into a contract to build a family room addition onto Harry's home for $25,000.In order to encourage timely performance,the agreement provided that the contractor would be penalized $2,000 as liquidated damages for each day that the project was late in getting finished.The contractor was 30 days late in finishing the project,but otherwise met the terms of the agreement.What is most likely in this situation?

• A) The liquidated damages clause would not be enforced due to its being excessive.
• B) The liquidated damages clause would be limited to $25,000,the amount of the contract price.
• C) The liquidated damages clause would be enforced.
• D) The liquidated damages clause would not be enforced because the parties made a mutual mistake about when the contract would be finished.

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Definitions:

Substance-Related Disorders

Disorders related to the abuse of or dependence on drugs, alcohol, or other substances.

Self-Destructive

Engaging in behavior that is harmful or potentially harmful towards oneself.

Function Normally

The ability of an organism, system, or mechanism to operate or perform within its expected parameters or conditions.

Sociocognitive View

A perspective in psychology that emphasizes the role of social interaction and cognitive processes in understanding behavior and mental states.