The honeycomb lattice material Li2RuO3 undergoes a dimerization of Ru 4+ cations on cooling below 270• C, where the magnetic susceptibility vanishes. We use density functional theory calculations to show that this reflects the formation of a 'valence bond crystal', with a strong bond disproportionation. On warming, x-ray diffraction shows that discrete three-fold symmetry is regained on average, and the dimerization apparently disappears. In contrast, local structural measurements using high-energy x-rays, show that disordered dimers survive at the nanoscale up to at least 650• C. The high temperature phase of Li2RuO3 is thus an example of a valence bond liquid, where thermal fluctuations drive resonance between different dimer coverages, a classic analogue of the resonating valence bond state often discussed in connection with high Tc cuprates.