Laws, Regulations & Annotations

F

460.0000 FULL CASH VALUE

Annotation 460.0022

460.0022 Liquidated Damages. Liquidated damages are not part of the consideration paid for a property, and a provision for liquidated damages in a purchase agreement does not result in a discount from the property's purchase price. Rather, liquidated damages represent a contractually agreed-upon amount stipulated as a reasonable estimation of actual damages to be recovered by one party if the other party breaches the agreement. Thus, the full cash value or fair market value of a property does not change depending on whether a liquidation damages provision is invoked. C 12/3/2001.