Final answer:
Liquidated damages are awarded to parties who have both experienced an injury to their legal rights and have an actual loss, aligning with the Seventh Amendment's emphasis on resolving civil disputes and compensating for harm.
Step-by-step explanation:
Liquidated damages are awarded to parties who have experienced an injury to their legal rights and have actual loss. This is in line with the principles of the legal system which the Seventh Amendment touches upon, emphasizing the resolution of civil disputes and the compensation for harm caused. Liquidated damages are a pre-determined sum agreed upon by the parties involved in a contract, to be paid in the event of a breach of that contract where actual damages are difficult to measure. Such damages are not awarded to parties who have not suffered any injury to their legal rights or those without any actual loss. Nor are they given to parties who are unaware of their legal rights. In summary, liquidated damages are meant to fairly compensate a party for an anticipated loss due to the breach of a contract, reflecting an injury that has occurred alongside an actual financial loss.