[Direct answer]In the Beijing area, this is possible, but it depends on the contractual provisions and legal rules. If the contract stipulates that the employer shall pay a breach of contract penalty for late payment, the contractor may claim the penalty according to the contract; if a party fails to perform its contractual obligations or performs them in a manner inconsistent with the contract, it shall bear such breach of contract liabilities as continuing performance and compensation for losses; if the contractual breach of contract penalty is excessively high compared with the actual losses, the party may request a reasonable reduction; if it is lower than the actual losses, the party may request an increase. If the contract does not stipulate a breach of contract penalty, the contractor may generally claim interest on the unpaid project funds as a loss of funds use. It should be noted that interest and breach of contract penalties are generally not compensated repeatedly for the same period. When making a claim, the contractor should choose one or handle it in a way that is favorable to itself, and prepare corresponding evidence of payment and losses.

I. Problem Background and Typical Scenarios

The project has been completed and the settlement has been done, but the employer is still delaying the payment. What the contractor cares most is whether they can get compensation in addition to the principal. The contract often stipulates that the default penalty is calculated at a certain percentage per day for late payment, or there may be no such stipulation at all. Whether there is a stipulation and its amount directly affect the amount that can be claimed and the difficulty of providing evidence.

II. Key points of contention

First, the basis of the right to claim the penalty for breach of contract, the relationship between the agreed and the statutory provisions; Second, the adjustment standard and burden of proof for excessive penalties; Third, the claim for interest when no agreement is reached, the starting date and interest rate standard; Fourth, whether interest and penalties can be used concurrently; Fifth, how to deal with the employer's defense based on quality issues or disputes over the project quantity.

III. Professional analysis by Henglue Lawyers

First, check whether there are any provisions in the contract. If there are clear provisions, the contractor may claim the breach-of-contract penalty for late payment in accordance with the contract; at the same time, he may claim the principal and interest of the unpaid project funds. If the provisions are clear, the court will generally respect the parties' autonomy of will, unless the standard is obviously deviating from the actual losses. Therefore, it is the basis for avoiding future disputes to clarify the payment milestones and the responsibilities for late payment at the contract signing stage.

The second layer is that the penalty for breach of contract is too high and needs to be adjusted. The party claiming the penalty for breach of contract does not need to prove the loss first, but if the party against whom the claim is made contends that the penalty is too high, the court will make a comprehensive judgment based on the actual loss, taking into account the performance of the contract, the degree of fault of the parties, and the expected benefits, and make appropriate adjustments; the party claiming the adjustment should submit evidence of the actual loss or an abnormally high standard. In practice, agreements that deviate significantly from the cost of capital occupation are likely to be lowered.

The third layer is that the claim for interest when no agreement is reached is also feasible. The interest on the unpaid project price is generally calculated from the date when the project price should be paid, with the standard referring to the interest rate of similar loans or the loan market quotation rate during the same period; the contractor should keep the documents submitted for delivery, acceptance, and settlement to determine the time of payment. In a commercial housing pre-sale contract dispute handled by Henglue Law Firm, the developer delivered the house nearly nine months late. Attorney Tian Jiaoyan, who handled the case, argued around the standards of the contractual penalty and the grace period stipulated in the supplementary agreement, and responded to defenses such as force majeure. In the end, the court ordered the developer to pay the full contractual penalty of more than 118,000 yuan. This case shows that whether the claim for contractual penalties can be implemented depends on whether the basis of the agreement is clear and whether the defenses for exemption from liability can be refuted. The dispute over the contractual penalties for project payments also follows this logic; this case was handled by Beijing Henglue Law Firm.Tian Jia YanThe attorney (practice license number: 11101202111381309, subject to the document issued by the judicial administrative organ) acts as the agent.

IV. Practical suggestions and legal basis

First, specify the payment deadlines and the default penalty standards for late payments when signing the contract. Second, keep records of delivery acceptance, settlement, and debt collection to determine the due payment time. Third, avoid double counting during the same period when claiming default penalties or interest. Fourth, respond to the other party's defense of quality issues based on the facts of acceptance and use. Fifth, apply for property preservation and sue promptly when necessary. Main legal basis: Articles 577 and 585 of the Civil Code of the People's Republic of China, as well as the provisions on interest on unpaid project payments in the Interpretation of the Supreme People's Court on Legal Issues Applicable to the Trials of Construction Contract Disputes; the specific application shall be subject to the currently effective provisions.

5. Henglu Law Firm's Advice

Three key points regarding breach of contract penalties in project payments: If there is an agreement, follow the terms of the agreement; if there is no agreement, claim interest; if the agreed amount is too high, it will be adjusted downward, and the standard should be close to the actual losses; interest and breach of contract penalties should not overlap, and the claim method should be chosen correctly. For cases involving real estate sales and construction projects, you can proceed through the following channels:Real estate transactions and construction projectsWe provide a comprehensive solution for services, which includes the execution of project payments.Creditor's rights and debts, and enforcement casesThe clauses related to contract terms and corporate transactions can be referenced for referenceBusiness and contract disputes in enterprisesFor the column, if you need a comprehensive solution, please feel free to consult usSpecial servicesTeam.

VI. Frequently Asked Questions

Q1: Can I claim the breach of contract penalty if I'm in arrears with the project payment?

Yes. If the contract stipulates a penalty for late payment, the contractor may claim it in accordance with the agreement; if no such stipulation exists, the contractor may generally claim the interest on the unpaid project funds as compensation for the loss of use of funds. When making such a claim, the contractor should specify the calculation basis, the start and end dates, and the applicable standards, and avoid receiving duplicate compensation for the same period.

Q2: What evidence do I need to prepare to claim the breach of contract penalty?

It includes construction contracts and payment terms, settlement documents and confirmation of arrears, delivery and acceptance certificates and proof of submission of settlement documents, collection letters and delivery records, as well as reference bases for losses or capital costs. The more complete the evidence is, the more convincing the calculation of the breach of contract penalty or interest will be.

Q3: How much does a lawyer's fee cost for a dispute over the breach of contract for project payments?

The fees are regulated by the market and are usually negotiated based on the subject matter and the workload. Fees for appraisal of construction costs, preservation of evidence, and enforcement are charged separately. It is recommended to clarify the scope of services and the charging method before signing the contract, and to require a separate breakdown of attorney's fees and fees paid on behalf of the client, so as to facilitate comparison and cost control.

Q4: How long does it take to handle cases like this?

In the first instance, the simplified procedure generally takes three months, and the ordinary procedure generally takes six months. The second instance generally takes three months; the period involving appraisal or evaluation will be extended. It is recommended to file a lawsuit as soon as possible and apply for property preservation at the same time to prevent the other party from transferring assets and affecting subsequent enforcement.

Q5: What should I do if the contract doesn't specify a penalty for breach of contract?

The interest on the unpaid project funds can be claimed, calculated from the date the project price should be paid, and the standard is referred to the interest rate of similar loans or the loan market quotation rate during the same period. Although the agreed-upon penalty cannot be obtained, the loss of funds occupied can still be claimed according to the law. The key lies in determining the time of payment and preserving evidence.

The above answer is based on the judicial practice in Beijing. The judicial interpretations in other provinces and cities may vary. For specific cases, please refer to the local rules and evidence situation.

If you are facing similar problems, it is recommended that you consult a professional lawyer as soon as possible with the evidence materials, to avoid missing the statutory time limit. →Legal services for the purchase and sale of real estate·Beijing Henglu Law Firm

Disclaimer: This article is compiled based on current effective laws and regulations and publicly available adjudication rules, and is provided for general reference only. It does not constitute formal legal advice for specific cases. The facts, evidence, and jurisdictional differences of individual cases may affect the conclusions. If you encounter disputes, please consult a practicing lawyer in time.