Article Seven Buyer’s Liability for Breach of Contract Due to Overdue Payment
If the buyer does not pay within the time period stipulated in this contract, the resolution will be made with method 2 following:
1. Resolutions made independently according to the overdue period (no accumulation)
(1) If the overdue period is less than X days, starting from the next day of the payment deadline stipulated in this contract to the actual payment day, the buyer shall pay the amount of X ten thousandth of the overdue payment per day as the penalty to the seller and the contract continues to be effective.
(2) If the overdue period is over X days, the seller has the right to terminate the contract. If the seller terminates the contract, the buyer shall pay X ten thousandth of the accumulative payable amount to the seller as the penalty. If the buyer would like to continue to fulfill the contract, the contract remains effective with the consent from the seller. From the second day after the payment deadline stipulated in this contract to the actual payment day, the buyer shall pay X ten thousandth (this rate shall not be less than the penalty rate stipulated in item (1) above) of the overdue payment per day to the seller as penalty.
The overdue payment in this article refers to the difference between the due payable amount and the actual payment stipulated in Article Six of this contract. In installment payment, the overdue payment is calculated as the difference between the amounts of the installment payable and the actual payment in the installing period.
2. If the buyer fails to pay the total price of the commercial house in time and in full amount as agreed in Article Six of this contract not because of the seller’s fault, and the overdue period is within 20 days (calendar day), the seller has the right ask the buyer to shoulder the responsibility of overdue payment and interest, which shall be calculated according to the loan interest rate of the bank in the same term starting from the due date of payment agreed in this contract to the actual date of payment. If the buyer fails to pay the total price of the commercial house in time and in full amount as agreed in the above articles and the overdue period is over 20 days (calendar day), it shall be executed as per the supplementary agreement of this contract.