The Pre-judgment Interest Act

The Pre-judgment Interest Act provides that when a person obtains a judgment for damages or for the recovery of a debt, the court must award interest from the date the loss or damage first occurred to the date of judgment.

Interest is not awarded:

• on any part of a judgment that represents monetary loss arising after the day of judgment;
• on interest;
• on costs;
• on exemplary or punitive damages;
• on money or interest on the money borrowed by a party to pay for expenses or lost income claimed as damages - which are subject to a different interest calculation;
• on money paid into court and accepted as an offer to settle a claim;
  on a judgment given on consent unless an award of interest is agreed to by both parties;
• if the parties have agreed on interest; or
• if the payment of prejudgment interest is otherwise provided by law.

Interest rates to be used in conjunction with the Act are published in The Saskatchewan Gazette every three months and the Act contains some detailed provisions for the calculation of interest. However, the court may refuse to award interest or any part of the interest, or may award interest at a higher or lower rate or for a period other than the rate or period provided for in the Act.