👉 Liqued, also known as liquidated damages or liquidated penalties, is a legal term used in contract law and other areas of law to define what should be paid out when an agreement is not fulfilled. It's essentially a financial penalty that must be paid by one party if the agreed-upon terms are not met. For example, suppose there was an agreement between two parties where one party promises to deliver goods at a certain time, but the delivery is delayed and the contract is broken.
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