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anonymous
Q: Is a monetary penalty standard for breech of contract?
The job offer I'm looking at has a penalty of 300-3000 usd if I or my school breeches the contract. This sort of worries me because they could claim a breech just to collect the money. The contract is with a state run university. I'm also not confident that in the case of the schools breech, I would be able to collect. It makes me uncomfortable. Should I be worried?
10 years 44 weeks ago in Business & Jobs - China
Yes, breach penalties have been normal in SAFEA contracts for years now. The only problem you should encounter is if you breach the contract and want to work for another employer in China. That is because they will try to withhold the standard leaving letter until they have recovered the money. You may then have some severe negotiating to do to get out of the mess. Otherwise, like almost everything in Chinese contracts, it is to protect them rather than you. If the school breaches the contract, don't expect to see any of the 300 - 3000 USD without an almighty struggle.
Yep, it's pretty standard, but be careful!
Add safety clauses such as, "a replacement teacher is found, no breach penalty will be required," "the school no longer needed my services, and no breach penalty will be required."
