Answered step by step
Verified Expert Solution
Question
1 Approved Answer
General Contractor enters into a contract with a municipality for the construction of a pedestrian bridge. The contract provides that any departure from the terms
General Contractor enters into a contract with a municipality for the construction of a pedestrian bridge. The contract provides that "any departure from the terms of this
contract subjects the General Contractor to a $5,000 per day penalty which the General Contractor agrees shall be paid by the general contractor on demand."
A. The quoted provision is an enforceable arbitration agreement.
B. The quoted provision is an unenforceable restraint on trade.
C. The quoted provision is an unenforceable liquidated-damages clause.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started