Penalty Clauses in Parking Space Use Contracts in Latvia

In this article, the authors analyse the legal nature of parking space use contracts in Latvia. The first part of the article examines the legal classification of parking space use contracts, as well as the key criteria that influence it. The second part of the article provides an overview of penalty clauses in parking space use contracts, identifying common problematic aspects and assessing the potential legal consequences of disproportionate contractual penalties. The authors also explore the ways how courts may intervene when penalty clauses are deemed disproportionate or unjust, offering a critical perspective on the enforceability and fairness of contractual penalties in parking space use contracts.