Bobby, a general contractor, and Fredrick, a soon-to-be homeowner, specify in their construction contract that for every day past the contractually specified deadline that Bobbys construction company does not complete Fredricks new house, Bobby will deduct $1,000 from the purchase price. This is known as which of the following?

Multiple Choice

• A punitive damages clause

• A compensatory damages clause

• A nominal damages clause

• A consequential damages clause

• A liquidated damages clause