Common use of Liabilities of Breach of Contract Clause in Contracts

Liabilities of Breach of Contract. 20.1 Any party who has failed to contribute the registered capital in accordance with the provisions of Article 5 of this contract shall be liable to pay penalty charges equal to 1% per month of the registered capital payable to the other party starting from 3 months after the submission date. The other party shall have the right to terminate this contract and claim for damage from the breaching party, in addition to the accumulated penalty charges equal to 3% of the registered capital payable, if capital contribution has been overdue for 6 months.