What is The FTAs definition of liquidated damages?
A. FTA has not published a definition of liquidated damages, but the definition that is included in the glossary of terms used by the National Transit Institute (NTI) in the courses that they teach on behalf of FTA is as follows: A specific sum (or a sum readily determinable) of money stipulated by the contracting parties as the amount to be recovered for each day of delay in delivery of the product or completion of the contract.The Best Practices Procurement Manual (BPPM) has a discussion of liquidated damages in Section 8.2.3, and there you will find the same definition of the term as used by NTI. The BPPM may be found on line here.
