Senate Bill No. 27

(By Senator Oliverio)

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[Introduced January 11, 1996; referred to the Committee on the Judiciary.]
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A BILL to amend and reenact section thirty-one, article six, chapter fifty-six of the code of West Virginia, one thousand nine hundred thirty-one, as amended, relating to interest on a judgment or decree; requiring judgment interest rate at ten percent per annum; and excepting judgment interest rate of contract action which shall be entered at the rate as agreed upon by contract.

Be it enacted by the Legislature of West Virginia:
That section thirty-one, article six, chapter fifty-six of the code of West Virginia, one thousand nine hundred thirty-one, as amended, be amended and reenacted to read as follows:

ARTICLE 6.TRIAL.
§56-6-31. Interest on judgment or decree.

Except where it is otherwise provided by law, every judgment or decree for the payment of money entered by any court of this state shall bear interest from the date thereof, whether it be so stated in the judgment or decree or not: Provided, That if the judgment or decree, or any part thereof, is for special damages, as defined below, or for liquidated damages, the amount of such special or liquidated damages shall bear interest from the date the right to bring the same shall have accrued, as determined by the court. Special damages includes lost wages and income, medical expenses, damages to tangible personal property and similar out-of-pocket expenditures, as determined by the court. The rate of interest shall be ten dollars upon one hundred dollars per annum, and proportionately for a greater or lesser sum, or for a longer or shorter time, notwithstanding any other provisions of law: Provided, however, That if the judgment is based upon a contract voluntarily executed between the parties and the rate of interest set forth therein is lawful, that amount of interest shall be carried on into any judgment entered thereon.



NOTE: The purpose of this bill is to require that interest rates as agreed upon by the parties of a contract shall be applied to any judgment entered upon the contract.


Strike-throughs indicate language that would be stricken from the present law, and underscoring indicates new language that would be added.