Legal analysis: Liquidated damages are paid in accordance with the contract. If the agreed liquidated damages are excessively higher than the losses caused, the people's court or arbitration institution may appropriately reduce them according to the request of the parties; the liquidated damages are lower than the losses caused. , the people's court or arbitration institution may increase it at the request of the parties.

Legal basis: Article 585 of the "People's Republic of China and Civil Code" The parties may agree that when one party breaches the contract, it shall pay a certain amount of liquidated damages to the other party based on the circumstances of the breach, or may agree on the cause. Method for calculating the amount of compensation for damages arising from breach of contract. If the agreed liquidated damages are lower than the losses caused, the People's Court or the arbitration institution may increase it at the request of the parties; if the agreed liquidated damages are excessively higher than the losses caused, the People's Court or the arbitration institution may appropriately reduce it at the request of the parties. If the parties agree on liquidated damages for delayed performance, the defaulting party shall also perform its debts after paying the liquidated damages.