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What is the maximum penalty stipulated in the Contract Law if the wedding company fails to perform the contract as agreed?
The maximum amount of liquidated damages shall be 30% of the actual loss. According to the following regulations: 1. According to Article 29 of Interpretation II of Contract Law, the maximum amount of liquidated damages is 30% of the actual loss. 2. The liquidated damages shall be determined by both parties through negotiation, and the amount is not limited. Liquidated damages are generally determined according to the expected losses caused by one party's breach of contract. 3. If the liquidated damages agreed by one party after breach of contract are "lower" than the actual losses, and the observant party requires the defaulting party to bear the liability for breach of contract, the observant party may bring a lawsuit to the court to request an increase in liquidated damages; If the agreed liquidated damages are "excessively" higher than the actual losses, the defaulting party may bring a lawsuit to the court to reduce the liquidated damages.