Liquidated Damages Clause
Fixes in advance the sum payable on a specified breach, sparing the parties from proving actual loss.
Cos'e
A liquidated damages (or penalty) clause sets a predetermined amount payable if a defined breach occurs, commonly late delivery or breach of confidentiality. In Dutch law this is the boetebeding, which can serve as compensation, as a penalty, or both.
Perché conta
It gives certainty and a strong incentive to perform without the cost of proving loss. But a court may mitigate an excessive penalty under BW 6:94, so the amount should be a genuine pre-estimate, not punitive.
Come applicarla
- Tie the sum to a realistic estimate of likely loss to reduce mitigation risk.
- State whether the penalty replaces or supplements actual damages.
- Specify the exact breach that triggers the penalty and any cap or per-day rate.
- Clarify whether a notice of default is required before the penalty is due.
Consigli per la negoziazione
- • The paying party should cap the aggregate penalty and demand a default-notice trigger.
- • The receiving party should exclude the court's power to mitigate where lawfully possible.
Errori frequenti
- • Setting a punitive amount unconnected to loss, risking mitigation under BW 6:94.
- • Failing to state whether the penalty excludes a separate damages claim.
Riferimenti normativi
- BW 6:91 Penalty clause (boetebeding) Diritto olandese
- BW 6:94 Judicial mitigation of a penalty Diritto olandese
Salvo diversa indicazione, i riferimenti riguardano il diritto olandese (Burgerlijk Wetboek, il Codice Civile olandese); gli strumenti UE come il GDPR si applicano in tutta l'UE. Si tratta di informazioni generali, non di consulenza legale. Altre giurisdizioni trattano questi concetti in modo diverso. Verifichi il testo vigente e la propria situazione con un avvocato qualificato.
Domande frequenti
Domande comuni su questa clausola.