What does third-party liquidated damages mean?

The liquidated damages in the tripartite agreement are usually agreed upon by the unit and the student and filled in in the remarks column to agree on the rights and obligations of the employer and the graduates. In fact, the purpose of setting liquidated damages by the unit is also very simple. , is to retain students and restrain them. After all, companies invest a lot of manpower and material resources in recruitment, and your unilateral breach of contract will inevitably have an impact on the company's recruitment plan.

There are no special legal provisions for liquidated damages in a tripartite agreement. It is mainly applicable to the provisions of relevant laws. As long as both parties have expressed their true intentions, it is valid. If there is a breach of contract, the party shall be liable for liquidated damages as stipulated in the agreement. If the liquidated damages agreed between the employer and you are excessively higher than the actual losses, the breaching party can sue in court to request an appropriate reduction in the amount. According to relevant legal provisions, the parties may agree that when one party breaches the contract, it shall pay a certain amount of liquidated damages to the other party based on the circumstances of the breach, and may also agree on a method for calculating the amount of compensation for losses arising from the breach of contract. If the agreed liquidated damages are lower than the losses caused, the People's Court or the arbitration institution may increase it at the request of the parties; if the agreed liquidated damages are excessively higher than the losses caused, the People's Court or the arbitration institution may appropriately reduce it at the request of the parties. If the parties agree on liquidated damages for delayed performance, the defaulting party shall also perform its debts after paying the liquidated damages.

When signing a three-party agreement, the circumstances of breach of contract will generally be discussed and the amount of liquidated damages will be stated. Therefore, if you break the contract after signing a three-party agreement, whether you need to pay liquidated damages depends on the content of the agreement. Moreover, according to the three-party agreement, the following will be handled:

(1) If liquidated damages are stipulated in the agreement, then whoever breaks the contract should pay liquidated damages, but if the liquidated damages are too high, you can ask for a reduction.

(2) If there is no provision for liquidated damages in the agreement, there is no need to pay liquidated damages.

Therefore, if you do not want to go to the position agreed in the agreement, whether to pay liquidated damages after breaking the contract must be handled in accordance with the agreement. The amount of liquidated damages in a tripartite agreement is agreed upon by the parties to the agreement. The law does not have mandatory requirements for the amount of liquidated damages, but the agreed liquidated damages should be appropriate. The parties may agree that when one party breaches the contract, it shall pay a certain amount of liquidated damages to the other party based on the circumstances of the breach, or they may agree on a method for calculating the amount of compensation for losses arising from the breach of contract.

Is a contract with liquidated damages exceeding 30% valid?

The contract is valid, but regarding the proportion of liquidated damages, there is no specific limit for liquidated damages in law. The parties can agree on when one party breaches the contract. A certain amount of liquidated damages should be paid to the other party based on the circumstances of the breach of contract, and a method for calculating the amount of compensation for losses arising from the breach of contract can also be agreed upon. If the agreed liquidated damages are lower than the losses caused, the parties may request the People's Court or the arbitration institution to increase the amount; if the agreed liquidated damages are excessively higher than the losses caused, the parties may request the People's Court or the arbitration institution to appropriately reduce it.

Legal basis:

"People's Republic of China and Civil Code"

Article 577: One party fails to perform its contractual obligations or performs its contractual obligations If it fails to comply with the agreement, it shall bear the liability for breach of contract such as continuing to perform, taking remedial measures or compensating for losses.

Article 578: If one party expressly states or shows by its own behavior that it will not perform its contractual obligations, the other party may request it to bear liability for breach of contract before the expiration of the performance period.

Article 579: If one party fails to pay the price, remuneration, rent, interest, or fails to perform other monetary obligations, the other party may request payment.

Article 584: If one party fails to perform its contractual obligations or performs its contractual obligations inconsistently with the agreement, causing losses to the other party, the amount of compensation shall be equal to the losses caused by the breach of contract, including the amount that may be lost after the contract is performed. The benefits obtained; however, shall not exceed the possible losses that the breaching party foresees or should have foreseen when entering into the contract.