The prosecution is currently examining the liquidated damages provision outlined in the agreement, which specifies a penalty of $1 million per breach of contract. During the proceedings, Prosecutor Joshua Steinglass raised a question regarding the unusually high amount in comparison to the contract value.
In response, Keith Davidson expressed skepticism about the enforceability of such a provision, citing that it significantly exceeded the settlement amount of the contract. He noted that the demand for this provision, set at $1 million per breach, came from Cohen.