An employment contract may state the amount of liquidated damages to be paid if the contract is breached. Upon a party's breach, the other party will recover this amount of damages whether actual damages are more or less than the liquidated amount.
If the agreed-upon liquidated damage amount is unreasonable, the Court will hold the liquidated damage clause to be void as a penalty. If the Court declares the clause to be void, the employee would have to prove the actual damages.
Bronx New York Liquidated Damage Clause in Employment Contract Addressing Breach by Employer A Bronx New York liquidated damage clause in an employment contract is a provision that outlines the predetermined monetary amount an employer is required to pay in case of a breach. This clause offers protection to employees in the event of a breach by their employer, ensuring they receive fair compensation for the harm caused. The purpose of including a liquidated damage clause in an employment contract is to provide a measure of certainty and easy calculation for the losses suffered by an employee due to a breach. Rather than going through costly and time-consuming litigation processes, the clause allows for a predetermined amount to be awarded, which acts as a form of compensation. There are several types of liquidated damage clauses that may be included in a Bronx New York employment contract addressing breach by the employer: 1. Monetary Compensation: This is the most common type of liquidated damage clause, where a specific amount is agreed upon by both parties. In case of breach, the employer is obligated to pay this predetermined amount as compensation to the employee. 2. Penalty or Forfeiture Clause: In some cases, the liquidated damage clause includes a penalty or forfeiture provision. Here, the employer not only pays a predetermined amount to the employee but may also face additional penalties or loss of specific benefits or privileges. 3. Restitution Clause: This type of liquidated damage clause requires the employer to not only compensate the employee but also to restore them to the position they were in before the breach occurred. This may include reinstating the employee, providing lost benefits, or fulfilling any other obligations outlined in the contract. 4. Injunction or Permanent Injunction Clause: In certain situations, the liquidated damage clause may include a provision for injunctive relief. This means that the court may issue an order requiring the employer to stop specific actions or behaviors, providing immediate relief to the employee. When drafting a Bronx New York liquidated damage clause in an employment contract addressing breach by the employer, it is crucial to ensure that it complies with applicable state and federal laws, including employment regulations and any specific requirements under Bronx New York jurisdiction. It is advisable to consult with an experienced employment lawyer to ensure the clause accurately reflects the intentions of both parties and provides adequate protection to the employee.
Para su conveniencia, debajo del texto en español le brindamos la versión completa de este formulario en inglés. For your convenience, the complete English version of this form is attached below the Spanish version.
