The Thesis On The Application Of Liquidated Damages Clauses After The Rescission Of Contract

According to the Contract Law of China, there is no obvious answer towhether the non-delinquent party can apply the liquidated damages clauses afterthe rescission of contract, which leads to the great controversy between thetheory circle and practice circle. In fact in juridical practice totally differentcourt decision is awarded for same case. That's to say some cases apply toliquidated damages clauses some are not. In this paper, it takes two classic casesof the court as examples, analyzing the different views of the China's judicialpractice and practice circle and its legislative defects. Through the comparisonof the liquidated damages clauses system in two countries and the internationalconvention, it believes that the liquidated damages clauses could be applied inmost cases except special stipulation by law. Finally, it gives some advices aboutthe improvement of our law system in the application of the liquidated damagesclauses after the rescission of contract.