Liquidated Damages Clause Deemed Unenforceable
Words, testimonies suggest penalty clause, judge says
March 25, 2022
A technology provider could not enforce a liquidated damages clause requiring its systems integrator to hand over 25% of any revenue it may derive from soliciting the provider’s customers, a federal judge has ruled. Plaintiff Secure Our City – or SOC – engaged defendant ECI Systems to install its security systems for a number of…
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