16:58
she was a referral/classmate of a previous coworker who left us for law school haha
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Simple English definitions for legal terms
liquidated amount
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A quick definition of liquidated amount:
Term: LIQUIDATED AMOUNT
Definition: A liquidated amount is a specific number that can be easily calculated based on the terms of an agreement. It is a predetermined amount that is agreed upon by both parties and is used to settle any disputes or damages that may arise. Think of it like a set price for a service or product that cannot be changed.
A more thorough explanation:
LIQUIDATED AMOUNT
A liquidated amount is a figure that can be easily calculated based on the terms of an agreement.
Example 1: In a rental agreement, the security deposit may be a liquidated amount. If the agreement states that the security deposit is equal to one month's rent, then the amount can be easily calculated based on the monthly rent.
Example 2: In a contract between two businesses, there may be a clause that specifies a liquidated amount for damages in case of a breach of contract. If the clause states that the liquidated amount is $10,000, then the amount is readily computed and agreed upon by both parties.
The examples illustrate how a liquidated amount is a predetermined figure that can be easily calculated based on the terms of an agreement. This helps to avoid disputes and uncertainty in case of a breach of contract or other issues. By specifying a liquidated amount, both parties can agree on the amount of damages or compensation in advance, which can save time and money in legal proceedings.