If a contractor faces liquidated damages of $750 a day for overextending the project by eight days, what is the total amount due considering four days were caused by rain?

If a contractor faces liquidated damages of $750 a day for overextending the project by eight days, what is the total amount due considering four days were caused by rain?

• A. $4,500
• B. $6,000
• C. $7,500
• D. $1,500

Answer: (B)

In this scenario, the contractor is subject to liquidated damages of $750 for each day that the project is extended beyond the original timeline. The project was extended by eight days in total. However, it is important to consider that four of these days were due to rain, which may be classified as a force majeure or an excusable delay, depending on the terms of the contract. Since the contractor would not typically be liable for liquidated damages for days resulting from weather-related issues, we must adjust the total number of days subject to damages. Therefore, out of the eight extra days, four days can be subtracted, leaving the contractor responsible for damages only for the remaining four days. To compute the total amount due for the liquidated damages: - Total extension days = 8 days - Excusable days (due to rain) = 4 days - Non-excusable days = 8 days - 4 days = 4 days The calculation for the total liquidated damages charged to the contractor is: 4 days × $750/day = $3,000 However, if we account for the total liquidated damages from eight days without making the necessary adjustment for the rain days, one would initially say that's $750 x

In this scenario, the contractor is subject to liquidated damages of $750 for each day that the project is extended beyond the original timeline. The project was extended by eight days in total. However, it is important to consider that four of these days were due to rain, which may be classified as a force majeure or an excusable delay, depending on the terms of the contract.

Since the contractor would not typically be liable for liquidated damages for days resulting from weather-related issues, we must adjust the total number of days subject to damages. Therefore, out of the eight extra days, four days can be subtracted, leaving the contractor responsible for damages only for the remaining four days.

To compute the total amount due for the liquidated damages:

• Total extension days = 8 days

• Excusable days (due to rain) = 4 days

• Non-excusable days = 8 days - 4 days = 4 days

The calculation for the total liquidated damages charged to the contractor is:

4 days × $750/day = $3,000

However, if we account for the total liquidated damages from eight days without making the necessary adjustment for the rain days, one would initially say that's $750 x