Settlement method of overdue payment interest in the sales contract: if the sales contract does not stipulate the liquidated damages for overdue payment, and the seller claims to compensate for the loss of overdue payment on the grounds of the buyer's breach of contract, the people's court may refer to the interest rate standard of overdue penalty interest and calculate it based on the benchmark interest rate of similar RMB loans of the central bank in the same period.

Legal objectivity:

People's Republic of China (PRC) Civil Code

Article 596

The contents of a sales contract generally include terms such as name, quantity, quality, price, time limit for performance, place and method of performance, packaging method, inspection standards and methods, settlement method, language used in the contract and its effectiveness.

Article 25 of the Provisions on Several Issues Concerning the Application of Law in the Trial of Private Lending Cases

If the lender requests the borrower to pay interest at the interest rate agreed in the contract, the people's court shall support it, except that the interest rate agreed by both parties exceeds 4 times the market quotation of one-year loan at the time of the establishment of the contract.