Research On The Problem Of Liquidated Damages In Private Lending

Private lending has a long history in our country.Because of its low transaction cost,high transaction efficiency and simple transaction method,more and more natural persons,legal persons and other organizations participate in it.Then,the practice of entering into contract penalty contract in private loan has gradually increased.The contract of breach of contract in private loan is a special kind of contract.Therefore,the various problems derived from the contract of breach of contract in private loan have become the topic worth attention and discussion.This paper discusses the following four aspects of default penalty in private loans:At first,the article makes a brief exposition of the law and relevant judicial interpretation provisions of the penalty for breach of contract in private loans.As well as combing out the legal practice of breach of contract in my private loans,and analyzing the basic theory of breach of contract penalty,I have concluded that the nature of breach penalty in China should be interpreted as compensation breach penalty.It also discusses the relationship between the default penalty and interest,penalty interest and damages for breach of contract.Secondly,the discussion on the validity of breach of contract is an important part of the thesis.The article expounds the clause of breach of contract penalty of all invalid and partial invalid civil loan and the clause of breach of contract penalty and form breach penalty clause of civil loan that can be revoked due to fraud,coercion and major misunderstanding.Thirdly,the article discusses the application of default penalty and interest rate,overdue penalty rate and damages calculation method,especially the standard of24 % annual interest rate.Finally,the article discusses the adjustment of the amount of default penalty for private loans,from the criteria for determining the imbalance of default penalty,aswell as the adjustment rules for general default penalty and the special adjustment rules for the amount of default penalty in private loans.From its adjustment regulation and practical significance and many other issues are analyzed.Through the discussion of this article,the author hopes to be able to draw widespread attention from one aspect of default penalty in private lending.We will improve the legal provisions on private lending and its attendant problems,so as to make better use of the theoretical significance and practical application of private lending to the financial industry.