Schedules are tight, but the end is near. Your project looks like it will be completed at the end of the month. Being on schedule makes you happy because there is a penalty of $200 a day if you miss the completion date. But, all of a sudden, 20 inches of snow falls on the job site, and shuts the job down for the rest of the month. You are now up against what is known as a liquidated damages clause. You can’t finish on time because of the snow. Are you obligated to pay that $200 a day? Exceptions to the Rule The basic legal rule is that when you made your bid and signed
