What Are Liquidated Damages in Connection with a Contract

Multiple Choice

What are liquidated damages in connection with a contract?

A) damages that are used to punish the non-breaching party
B) damages that are set at a fixed amount in advance in the contract
C) damages that are used when there are no actual damages
D) damages that require approval in advance from the court
E) damages that result in all assets of the breaching party being paid out as damages