ADVANCE TANK & CONST. CO. v. CITY OF DeSOTO

Civ. A. No. 3-89-1542-H.

737 F.Supp. 383 (1990)

ADVANCE TANK & CONSTRUCTION CO., Plaintiff, v. CITY OF DeSOTO, Defendant.

United States District Court, N.D. Texas, Dallas Division.

May 23, 1990.


Attorney(s) appearing for the Case

Thomas C. McGraw and Stephen M. Fitzgerald, Gibson Dunn & Crutcher, Dallas, Tex., for plaintiff.

Paul Higgins, City Atty., City of DeSoto, DeSoto, Tex., Jerry C. Gilmore, Kent S. Hofmeister, Robert F. Brown, Vial, Hamilton, Coch & Knox, Dallas, Tex., for defendant.


MEMORANDUM OPINION AND ORDER

SANDERS, Chief Judge.

Before the Court are Plaintiff's Motion for Partial Summary Judgment, filed April 20, 1990, and Defendant's response, filed May 10, 1990. Plaintiff moves for a judgment that the liquidated damages provision in the contract between the parties providing for $500 per day of delay is an unenforceable penalty clause.

Under Texas law, a liquidated damages provision will be enforced when the court finds...

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