Award of Prejudgment Interest
In an unpublished decision, the US Court of Appeals for the Fifth Circuit ruled that an award of prejudgment interest is the rule rather than the exception in actions under general maritime law.
In the instant case, an anchor of one of defendant’s ships lodged in and damaged plaintiff’s offshore pipeline. When the parties could not agree on the amount of damages, plaintiff brought suit. Defendant appealed the damage award, particularly the assessment of prejudgment interest. The court held that there were no special circumstances in this case to deprive plaintiff of prejudgment interest.
Transcontinental Gas Pipe Line v. Societe D’Exploitation du Solitaire, No. 07-31073 (5th Cir., November 10, 2008).
(Source: Holland & Knight)