Stipulated damages

STIPULATED DAMAGES, contracts. The sum agreed by the parties to be paid, on a breach of a contract, by the party violating his engagement to the other.
     2. It is difficult to distinguish, in some cases, between stipulated damages and a penalty; (q.v.) 3 Chitty's Commer. Law, 627; 2 Bos. & Pull. 346. The effect of inserting stipulated damages, either at law or equity, a pears to be, that both parties must abide by the stipulation, and the prescribed sum must be given. Holt, C. N. P. 46 Newl. Contr. 313; see 5 Taunt. Rep. 247. Vide Damages, Liquidated.

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Awaits sentencing after pleading guilty on June 28, 2011 to one count of mail fraud with stipulated damages of between $2.
And it would allow state judges to make a determination that returning stipulated damages to victims is "not practicable" and send the money directly to the legal aid fund, a potential due process violation, they said.
To begin with, a central problem with penalty doctrine, at least in its traditional form, is that it determines the enforceability of stipulated damages clauses without reference to other terms of the contract.
however, the Supreme Court of Canada adopted a strict version of the penalty doctrine and refused to treat the difficulty of proving actual losses as a factor pointing toward the conclusion that the stipulated damages clause in question was enforceable.
MPS' Discontinued MP1543 Product is Found to have Infringed Linear's Patents - Stipulated Damages are Ten Dollars
II THE EVOLUTION OF THE LAW OF STIPULATED DAMAGES CLAUSES
increasingly reluctant to strike down stipulated damages clauses, even
underlying the enforceability of stipulated damages clauses suggest that
In such an eventuality, he said, a party could be absolved of his contractual liability without that party having to pay the stipulated damages in the event of a violation.
of Privately Stipulated Damages for Breach of Contract: Entry Barriers,
Therefore, parties should resort to liquidated or stipulated damages provisions in contracts, whenever possible.
Nevertheless, it is expected that the construction contract for the project will feature a fixed-price with a guaranteed completion date, standard performance and payment bond provisions and stipulated damages payments in the event completion is delayed.