In the Liar Paradox, someone says "I am a liar.", which we assume means "Everything I say is false." (although even that's not correct, a liar is defined as someone who says lies, not someone who only says lies).
According to the paradox, this is a contradiction because if everything he says is false, then his sentence would be false, meaning that everything he says is true, meaning that everything he says is false, and so on...
The problem with the paradox is that the negation of "Everything I say is false." is not "Everything I say is true.", but rather "Not everything I say is false.", which is equivalent to "I say some true things." (¬∀x: ¬true(x) ⇔ ∃x: true(x)), which does not necessarily mean that that particular sentence he said is true. If that sentence is false then there is no contradiction.