Legal basis: Civil Code of People's Republic of China (PRC).
Article 89 The parties may agree that one party shall pay a deposit to the other party as security for the creditor's rights. After the debtor performs the debt, the deposit shall be used as the price or recovered. If the party paying the deposit fails to perform the agreed debt, it has no right to demand the return of the deposit; If the party receiving the deposit fails to perform the agreed debt, it shall return the deposit twice.
Article 90 The deposit shall be agreed in writing. The parties shall stipulate the time limit for the payment of the deposit in the deposit contract. The deposit contract shall take effect from the date when the deposit is actually paid.