Building Law Monthly
Agreement to abandon claim for liquidated damages
In
Mansion Place Ltd v Fox Industrial Services Ltd [2021] EWHC 2972 (TCC), Eyre J held that the parties had reached an agreement under which the claimant had agreed to forego
its right to recover liquidated damages under the contract and that the agreement amounted to a final abandonment of those
rights. Had he not so concluded, Eyre J would have held that the agreed damages clause did not amount to a penalty clause
and he would have rejected the submission that the clause was too uncertain to be given effect.