What If a Liquidated Damage Clause Is Punitive in Nature

Multiple Choice

What if a liquidated damage clause is punitive in nature?

A) The UCC allows punitive liquidated damage clauses but common law does not.
B) The UCC allows punitive liquidated damages as long as the parties negotiated in good faith to include a liquidated damages clause.
C) The UCC allows punitive liquidated damages only in contracts for sale, but not lease contracts.
D) The UCC allows punitive liquidated damages if there were lost profits.
E) Courts will not enforce the liquidated damage clause if it is punitive in nature.