Contracts
In South Carolina, 'liquidated damages' in a real estate contract typically refers to:
ACourt-awarded punitive damages
BA predetermined amount (often earnest money) that the non-defaulting party retains upon breach✓ Correct
CThe cost to repair property defects
DThe agent's commission
Explanation
Liquidated damages clauses specify in advance the damages (often the earnest money) that will be paid if one party breaches. This provides certainty without requiring litigation to establish actual damages.
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