Post Judgment Interest in Georgia

OCGA 7-4-12 controls the award of post judgment interest in Georgia, and it states that the interest is recovered at a rate equal to three percent over the prime rate as Published by the Board of Governors of the Federal Reserve System on the day the judgment was entered.

However, if the contract from which the judgment was derived from specifies another post judgment interest rate, then that is the rate that will be applied.

So, if you weren't paying attention back in 2003 when this change was implemented, you still might think that the rate was 12%.  WRONG!  And if in some freakish circumstance, you still have an active judgment entered before July 1, 1980, you would be applying a 7% rate, even for accrued interest after July 1, 2003.

Now PRE Judgment interest is a different beast.  OCGA 7-4-16 allows a maximum rate of 1.5% per month on the balance from the date that the statment of account is rendered to the obligor (unless otherwise contracted for in writing).

So what does all this mean?
Well, first it means you better have the initial contract reviewed before signing, and second it means you better plead your request for damages in the complaint for the breach of contract.

Happy collecting!