Public-domain · open source
OpenJurist

§ 24A-4-4 NMSA 1978

Liquidated damages

Laws 2015, ch. 96, § 4; § 24-1I-4, recompiled as § 24A-4-4 by Laws 2024, ch. 39, § 132.

A. An agreement may provide for liquidated damages in an amount that is reasonable at the time the agreement is executed and in light of anticipated harm and difficulty of proving the amount of loss resulting from breach of the agreement by any party.

B. A provision in an agreement fixing unreasonably large liquidated damages is void as a penalty.

Official source: NMOneSource (New Mexico Compilation Commission). Reproduced from public-domain New Mexico statutes; confirm against the official source for the current text. Not legal advice.