INTRODUCTION
This paper explores a deceptively simple question: if one person contracts to pay another a sum of money upon the happening of a particular event, and the event occurs, under what circumstances will a court order the promisor to pay? The English lawyer’s traditional answer is: ‘It depends’. Specifically, the rules which determine whether a court will order payment of the stipulated sum are said to vary depending on whether the event in question is a breach of contract. If it is not, the promisee brings an action for the agreed sum and is entitled in all, or at least almost all, circumstances to an order for payment. However, if the event is a breach of contract, the promisee sues for damages and their entitlement to an order for payment of the stipulated sum depends on the ‘penalties rule’, ie on whether the stipulation is characterised as ‘liquidated damages’ or a ‘penalty clause’. My aim in this paper is to present a picture of rather greater unity …
€ (Westlaw)
Alexander Georgiou, ‘Making contract-breakers pay’, Law Quarterly Review 2025, 141(Jan), 104-130.
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