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In the Contract Between Bayson's Department Store and Clem's Manufacturing

Question 36

Multiple Choice

In the contract between Bayson's Department Store and Clem's Manufacturing, there is a clause that allows either party to end the contract on 60-days' notice and the payment of liquidated damages, which are set at a reasonable amount. This clause is


A) a force majeure clause.
B) an option to terminate.
C) a condition subsequent clause.
D) a frustration of contract clause.
E) an example of laches.

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