Technically,penalty Clauses Are Called Liquidated Damages Clauses; If They Are

question 20

True/False

Technically,penalty clauses are called liquidated damages clauses; if they are labeled penalty clauses,there is a long line of cases that say they are not enforceable.

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Definitions:

Statutory Interpretation

Statutory interpretation involves the process by which courts determine the meaning and application of legislation.

Rule of Construction

A legal principle used to interpret the meaning and intent of statutes, contracts, or other legal documents.

Statute

A written law passed by a legislative body at the federal, state, or municipal level.

Discretion

The freedom to make decisions within the bounds of one's authority, often implying careful judgment and prudence.