In Georgia legal remedies, which type specifically includes damages predetermined in a contract?

In the context of Georgia legal remedies, the type that specifically includes damages predetermined in a contract is known as liquidated damages. Liquidated damages are stipulated within the terms of a contract and are intended to provide a measure of compensation should one party fail to fulfill their contractual obligations. This concept is rooted in the idea that when parties enter a contract, they can agree on a specific amount of damages that would be sufficiently reasonable to cover losses anticipated from a breach, thus avoiding the complexities of proving actual damages.

The inclusion of predetermined amounts helps parties manage risks and anticipate financial implications in case of a breach. Courts typically enforce liquidated damages provisions as long as they are not deemed punitive and represent a reasonable forecast of likely damages resulting from a breach.

This principle contrasts with other types of damages. Compensatory damages are focused on reimbursing the actual loss incurred by the injured party, while unliquidated damages refer to those amounts that have not been pre-set and need to be determined through legal proceedings. Equitable damages, on the other hand, typically involve restitution or specific performance rather than a predetermined monetary amount, further distinguishing them from liquidated damages.