International Record Syndicate (IRS) hired Jeff Baker to take photographs of the musical group Timbuk-3. Baker mailed 37 “chromes” (negatives) to IRS via the business agent of Timbuk-3. When the chromes were returned to Baker, holes had been punched in 34 of them. Baker brought an action for breach of contract to recover for the damage done to the chromes. A provision printed on Baker’s invoice to IRS stated: “[r] eimbursement for loss or damage shall be determined by a photograph’s reasonable value which shall be no less than $1,500 per transparency.” 

Baker testified that he had been paid as much as $14,000 for a photo session, which resulted in 24 photographs, and that several of them had already been resold. He also had received as little as $125 for a single photograph. He once sold a photograph taken in 1986 for $500 and sold several reproductions of it later for a total income of $1,500. Was the liquidated damages provision enforceable by Baker?