Abstract

A contractual penalty is an additional provision in a contract specifying the compensation due to the creditor in the event of the non-performance or improper performance of a non-monetary benefit by the debtor. Thanks to the provision of a contractual penalty, the creditor does not have to prove either the damage or a causal link between the breach of the obligation and the damage. It is sufficient to provide evidence of the non-performance or improper performance of the obligation by the debtor. The mechanism for enforcing payment of the penalty is also simplified, as it does not require a court case. It is enough for the creditor not to pay the debtor a portion of the remuneration that corresponds to the amount of compensation stipulated in the contract. The provisions of the Civil Code governing contractual penalties are applicable to public procurement law.