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Summaries and analysis of recent Delaware court decisions concerning business-related litigation.
Morris James Blogs
Delaware Superior Court Requires Contract Claim Be Plead For Prejudgment Interest To Start To Accrue
This decision has an important warning. A complaint for a declaratory judgment does not alone entitle a plaintiff to a monetary judgment when its interpretation of a contract is upheld and the contract has been breached. Thus when the defendant then pays what is due and thereby negates the plaintiff’s ability to file a breach of contract case, the court will not award prejudgment interest even if the payment is years overdue. In short, add a breach of contract claim to any declaratory judgment complaint.