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=S=> BGB 340. 1 If the obligor has promised the penalty in the event that he fails to perform his obligation , the obligee may demand the penalty that is payable in lieu of fulfilment . If the obligee declares to the obligor that he is demanding the penalty , the claim to performance is excluded .
=S=> BGB 340. 2 If the obligee is entitled to a claim to damages for nonperformance , he may demand the penalty payable as the minimum amount of the damage . Assertion of additional damage is not excluded .
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