Liquidated / stipulated damages

Read the following  Liquidated / Stipulated Damages clauses of different contracts, then select the correct option from the list to complete (1) ….. to (10) ….. .

Liquidated /stipulated damages for delay

 If the Contractor is in delay with the performance of any contractual obligation, including the achievement of any Milestone or the Completion Date, ___1___the Contractor, the Contractor shall pay to the Customer liquidated / stipulated damages for delay in the amount of HUF 1 million per day of delay, ___2___ the first day following the relevant due date and continuing until due performance.

The Parties expressly agree that the Customer shall be entitled to claim liquidated / stipulated damages for delay irrespective of whether it has suffered actual damage. Payment of the liquidated / stipulated damages for delay shall not ___3___ the Contractor from its obligation to perform, nor shall it preclude the Customer from claiming damages in excess of the liquidated / stipulated damages for delay, subject to the limitations set forth in the Cvil Code.

Liquidated / stipulated damages for non-performance

If the performance of the Agreement or any material obligation thereunder becomes impossible or ___4___, or if the Contractor ___5___ to perform due to reasons attributable to the Contractor, the Contractor shall pay to the Customer liquidated / stipulated damages for non-performance in the amount of HUF 5 million.

The Parties acknowledge that the liquidated / stipulated damages for non-performance is payable ___6___ of non-performance and replaces the obligation to perform. The Customer shall be entitled to claim liquidated / stipulated damages for non-performance irrespective of proof of actual loss, and may, in accordance with the Civil Code, claim damages exceeding the amount of the liquidated / stipulated damages for non-performance.

 Liquidated / stipulated damages for defective performance

If the Contractor performs any obligation defectively, in particular if the Deliverables or Services ___7___ the contractual specifications, quality requirements or applicable standards, the Contractor shall be liable to pay liquidated / stipulated damages for defective performance in the amount of HUF 100,000 per affected Deliverable or 1% of the Price ___8___ the defective performance.

In no event shall the payment of the liquidated / stipulated damages for defective performance affect  the Customer’s ___9___, or the Customer’s right to request repair, replacement, price reduction, or to ___10___ the Agreement, in accordance with the provisions of the Civil Code. 

Now, press the START button to select the correct option from the list to complete (1) ….. to (10) ….. .