Arbitration vis a vis Liquidated Damages – Genuine pre estimate or penalty
Introduction Liquidated damages clauses are standard contractual provisions where parties pre-determine the compensation payable upon breach. However, the enforceability of such clauses often invites judicial scrutiny, especially in arbitral proceedings, where the distinction between genuine pre-estimates and penalties becomes crucial. A court or an arbitral tribunal must balance contractual intent with established legal principles, particularly […]