forfeiture

/'fɔ:fitʃə/
Noun
  1. the act of losing or surrendering something as a penalty for a mistake or fault or failure to perform etc.
  2. a penalty for a fault or mistake that involves losing or giving up something
    • the contract specified forfeits if the work was not completed on time
  3. something that is lost or surrendered as a penalty;

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forfeiture
The contract specified a forfeiture if the work was not completed on time.