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CIPS Commercial Contracting L4M3 Question # 24 Topic 3 Discussion

CIPS Commercial Contracting L4M3 Question # 24 Topic 3 Discussion

L4M3 Exam Topic 3 Question 24 Discussion:
Question #: 24
Topic #: 3

Maximum Score 1

Buyer O has placed an order for the supply and installation of six new servers for a total amount of £600,000 from Supplier A. Which of the following could potentially be treated as examples of a liquidated damages clause within the contract for the supply of the servers?

    If the supplier delivers any of the servers late, £1,000 per server will be deducted from the order per day

    This contract is subject to delay remedies of £X - the amount to be agreed by both parties during delivery

    The sum for breach of the completion date for the order is £40,000 per day up to a maximum of 50% of the contract price

    If the performance of any of the servers degrades within five years, a full refund of £600,000 will be provided


A.

1 and 2 only


B.

3 and 4 only


C.

1 and 3 only


D.

2 and 4 only


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