Research On Judicial Discretionary Reduction Of Liquidated Damages

China’s current regulations on judicial discretionary reduction of liquidated damages are fewer and comparatively well-developed.There exist some Problems such as the regulations about the functional attributes of liquidated damages and the standards for judicial discretionary reduction of liquidated damages.This has led to some problems in the disposal of liquidated damages in judicial practice.This article is divided into four parts.First of all,it discusses the basic theory of liquidated damages and compares the liquidated damages system of the two major legal systems.Then it analyzes the problems of judicial discretionary reduction of liquidated damages in China in combined with seller’s breach of contract in second-hand housing transactions,and propose my suggestions for Improvement.The first part analyzes the concept,nature and function of liquidated damages and the principle of discretionary reduction of liquidated damages in accordance with the views of the academic community,and defines the nature and functional attributes of liquidated damages,mainly analyzes the punitive properties and compensation properties of liquidated damages.The second part analyzes the liquidated damages system of the two major legal systems.Based on this,it compares the liquidated damages systems of the two major legal systems,mainly compares the two major legal systems’ attitude to the parties’ autonomy of will and punitive liquidated damages.The third part gives an overview of China’s current system of judicial discretionary reduction of liquidated damages,and analyzes the problems in China’s judicial discretionary reduction of liquidated damages from both the entity and the procedure.The fourth part propose some suggestions for Improvement,which is aimed at the problems existing in the judicial discretionary reduction of liquidated damages in china,from both the entity and the procedure,and special instructions are given on the problems of judicial discretionary reduction of liquidated damages in the seller’s breach of contract in second-hand housing transactions.