ECO WORLD – BALLYMORE EMBASSY GARDENS LTD v DOBLER UK LTD

[2021] EWHC 2207 (TCC), Technology and Construction Court, O’Farrell J, 3 August 2021

Construction of agreed damages clause – Whether a liquidated damages clause or a penalty – Whether agreed damages clause operated to cap liability for general damages even if the clause was void or unenforceable

The principal issue between the parties concerned the construction of an agreed damages clause in the contract between the parties. A subsidiary issue was whether, if the clause was void or unenforceable, it nevertheless operated as a cap on the general damages recoverable by the innocent party.