Contract: It is an agreement between the parties to establish, modify, and terminate civil relations. A contract established in accordance with the law is protected by law. The establishment of a contract must follow two principles: 1. the principle of legality; 2. the principle of equality and mutual benefit, consensus, and equal compensation.
The school needs to requisition land to expand its campus. After negotiation, it will sign a contract with the property owners around the school to purchase at a price of 2500 yuan per square meter. The payment will be paid first and then the demolition will be carried after that. If the contract is not fulfilled within one month, liquidated damages will be paid is not part of a contract according to the above definition.