Alfred McAlpine Capital Project Ltd v Tilebox Ltd (2006)
Citation: EWHC 281 (TCC); [2005] B.L.R. 271; 104 Con. L.R. 39
Nature of case:
Already reported in BLR, this case contains a useful review of the modern law on the distinction between liquidated damages and penalties. On the facts, the liquidated damages provision in the JCT WCD 1998 contract for £45,000 per week was a genuine pre-estimate of loss and the actual loss suffered by the developer, Tilebox, was higher. The contractor therefore failed to obtain a declaration that the provision was a penalty.
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