Common use of Treatment of Additional Amounts Clause in Contracts

Treatment of Additional Amounts. ‌ The Parties hereto acknowledge and agree that Customer’s payment of the Termination Value constitute liquidated damages and not penalties. The Parties further acknowledge that in the case of the payment of the Termination Value: (a) the amount of loss or damages likely to be incurred is incapable or is difficult to precisely estimate, (b) the amounts specified hereunder bear a reasonable proportion and are not plainly or grossly disproportionate to the probable loss likely to be incurred by Customer or Provider as the case may be and (c) the Parties are sophisticated business parties and have been represented by legal counsel and negotiated this Agreement at arm’s length.

Treatment of Additional Amounts. ‌ The Parties hereto acknowledge and agree that Customer’s payment of the Termination Value constitute liquidated damages and not penalties. The Parties further acknowledge that in the case of the payment of the Termination Value: (a) the amount of loss or damages likely to be incurred is incapable or is difficult to precisely estimate, (b) the amounts specified hereunder bear a reasonable proportion and are not plainly or grossly disproportionate to the probable loss likely to be incurred by Customer or Provider as the case may be and (c) the Parties are sophisticated business parties and have been represented by legal counsel and negotiated this Agreement at arm’s length.