After the contract is signed, the liquidated damages and the amount and payment method of liquidated damages may be stipulated in the contract. Those who fail to pay the liquidated damages after breach of contract may apply to an arbitration institution for arbitration or bring a lawsuit in court. Liquidated Damages Pay a certain amount of liquidated damages to the other party according to the breach of contract, or agree on the calculation method of compensation for breach of contract. If there is no liquidated damages, the people's court may not support the part where the amount of the deposit agreed by the parties exceeds 20% of the subject matter of the main contract.

Legal basis: Article 585 of the Civil Code of People's Republic of China (PRC), the parties may agree that one party shall pay a certain amount of liquidated damages to the other party according to the breach of contract, or agree on the calculation method of the amount of damages for breach of contract. If the agreed liquidated damages are lower than the losses caused, the parties may request the people's court or arbitration institution to increase them; If the agreed liquidated damages are excessively higher than the losses caused, the parties may request the people's court or arbitration institution to reduce them appropriately. If a party delays the performance of the agreed liquidated damages, it shall pay the liquidated damages to the defaulting party and perform its debts.

Article 586 of the Civil Code of People's Republic of China (PRC) stipulates both the liquidated damages and the deposit, and the other party may choose to apply the liquidated damages or the deposit clause.