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United Kingdom Leading Case penalty clauses and liquidated damagesbreachexpectation damages

Triple Point Technology Inc v PTT Public Co Ltd

[2021] UKSC 29
JurisdictionUnited Kingdom
CourtUK Supreme Court
Year2021
StatusBinding authority

Summary

Liquidated damages for delay accrue only up to termination; thereafter the employer may claim general damages for delay and defective work.

Key Principle

Liquidated damages clause accrues up to date of termination for delay. After termination, employer can claim general damages for delay and defective work.

Area of Law

contract

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Paciocco v Australia and New Zealand Banking Group Ltd (2016) 258 CLR 525

Bank late payment fees are not penalties where they represent a genuine pre-estimate of loss or protect a legitimate interest of the stipulating party.

Simic v New South Wales Land and Housing Corporation (2016) 260 CLR 85

High Court of Australia examined the principles governing rectification of written contracts for common intention and unilateral mistake in equity.

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