Legal Insights

Plain-language guides and case briefs on Philippine law — researched from the firm's law library of 184,000+ statutes, Supreme Court decisions, and agency issuances, and written so non-lawyers can understand and act on them.

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Sep 20, 2005 contract-law liquidated-damages penalty-clause civil-code equitable-reduction

Equitable Reduction of Penalties When Courts Can Adjust Contractual Damages in the Philippines

Philippine courts can reduce contractual penalties and liquidated damages when they are unconscionable or when the obligation was partly performed.