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IN RE BUBBLE UP DELAWARE, INC.

No. 81-5168.

684 F.2d 1259 (1982)

In re BUBBLE UP DELAWARE, INC., a Delaware corporation, Debtor. Irving SULMEYER and Arnold Kupetz, Co-Trustees, Plaintiffs-Appellants, v. UNITED STATES of America, Defendant-Appellee.

United States Court of Appeals, Ninth Circuit.

Decided August 23, 1982.

Rehearing Denied September 27, 1982.

Attorney(s) appearing for the Case

Clifford J. Meyer, Buchalter, Nemer, Fields, Chrystie & Younger, Los Angeles, Cal., for plaintiffs-appellants.

Philip Malinsky, Asst. U. S.Atty., Los Angeles, Cal., for defendant-appellee.

Before ELY, NELSON and CANBY, Circuit Judges.

NELSON, Circuit Judge:

The controversy in this case centers around the proper characterization of a damages clause in a government contract. Specifically, the main issue is whether the clause is an allowable liquidated damages clause or a non-allowable penalty provision. We affirm the district court's conclusion that the clause was one for liquidated damages. We also affirm the district court's holding that the government did not fail to perform any condition precedent...

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