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Law · Q328

Indian Contract Act

Graduate and Post Graduate · Law · question 328

Q328

When a contract has been broken and a sum is named in the contract as the amount to be paid in case of breach, the party complaining of the breach is entitled to

A.
That amount without any reference to the amount of damages he suffered
B.
The actual amount of damages not exceeding the sum stated
C.
The actual amount of damages ever if exceeds the sum stated
D.
Reasonable compensation not exceeding the sum stated
Answer

Answer: Option D

Solution

Answer: Option D
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