Legal advice: How to calculate the starting and ending period of liquidated damages for overdue payment? Longhua Contract Lawyer Consulting Longhua Contract Lawyer Answer: The liquidated damages for late payment shall be calculated to the effective date of the judgment. Once the people's court makes an effective ruling on the dispute between the parties, it shall determine whether and how to bear the liability for breach of contract for the dispute and overdue payment between the parties, and the parties shall perform their obligations in accordance with the requirements of the people's court judgment, including paying liquidated damages. At this time, the debtor is no longer liable for breach of contract to the creditor, but performs the payment obligation determined by the effective legal documents. The debtor's failure to perform the debt is no longer a breach of contract, but a failure to perform the effective legal documents, and should bear the legal responsibility for the delay in performance. The way to assume responsibility is no longer to pay liquidated damages, but to double the interest on debts or pay the expenses for delayed performance according to Article 232 of the Civil Procedure Law of People's Republic of China (PRC) (hereinafter referred to as the Civil Procedure Law). (Article 232 of the Civil Procedure Law: "If the person subjected to execution fails to perform the obligation to pay money within the period specified in the judgment, ruling or other legal documents, he shall pay double the interest on the debt during the delayed performance. If the person subjected to execution fails to perform other obligations within the period specified in the judgment, ruling or other legal documents, he shall pay the delay in performance. " As for the time limit for performance stipulated for the parties in some judgments, the time limit is generally short, which belongs to the grace period for prompting and urging the parties to perform the effective legal documents. During this period, the interest belongs to the debtor, and no liquidated damages are calculated.
Relevant legal knowledge:
Longhua lawyer consults Longhua contract lawyer. The liquidated damages directly stipulated by law are statutory liquidated damages. Statutory liquidated damages are the proportion of liquidated damages stipulated in some laws and regulations (such as Regulations on the Purchase and Sale of Industrial and Mining Products and Regulations on the Purchase and Sale of Agricultural and Sideline Products). The contract stipulates liquidated damages in principle, and the relevant provisions stipulate the proportion of liquidated damages, and the statutory liquidated damages shall apply. In this case, due to the different contents of the contract and the different nature and degree of breach of contract, the method and amount of determining liquidated damages are also different.
1) If the proportion of liquidated damages is clearly stipulated in relevant laws and regulations, the amount of liquidated damages can be calculated directly according to this proportion. For example, Article 35 (5) of the Regulations on Contracts for the Purchase and Sale of Industrial and Mining Products stipulates that overdue delivery shall be calculated according to the total value of overdue delivery in accordance with the provisions of the People's Bank of China on deferred payment, and the buyer shall be paid liquidated damages for overdue delivery. It is clearly stipulated here that the proportion of liquidated damages for delayed delivery is three ten thousandths per day. For another example, Item 4 of Article 2 1 of the Regulations on Processing Contracts stipulates that the ordering party shall pay liquidated damages in accordance with the contract if the crops are delivered late. In terms of remuneration, one thousandth of the total remuneration of the overdue part shall be paid as liquidated damages for each overdue day. It can be seen that the legal calculation standard of liquidated damages for delayed performance of the contract is fixed. Various demurrage fees, late payment fees, etc. The above provisions shall prevail.
2) The relevant laws and regulations only stipulate a certain percentage of liquidated damages. This requires the people's court or contract arbitration institution that accepts the case to determine a certain proportion in order to calculate the amount of liquidated damages. For example, Item 1 of Article 35 of the Regulations on Purchase and Sale Contracts of Industrial and Mining Products stipulates that the supplier shall pay liquidated damages to the buyer if it fails to deliver the goods. The penalty for common products is 1% to 5% of the total value of undeliverable parts. Generally speaking, the legal liquidated damages for non-performance or incomplete performance of the contract are within a certain proportion.