KCC 483/2001
This case involved an insurance contract covering defaulted debtors where a company employee had failed to pay their debt. The key issue was whether this was a civil or commercial debt as this impacted whether interest was due.
Background
A bank filed a case against a company before the court. The bank requested the court to order the company to pay 44449 Dinars and legal interest. The bank said that the company had signed an insurance contract in which it accepted to cover the default of the debtors. The bank said that one of the company's employee failed to pay the remaining value of the loan he received from the bank.
The court ruled that the company should pay the bank the mentioned amount.
The bank and the company appealed the ruling before the court of appeal. The court ruled that the company should also pay the value of the legal interest. The court dismissed the appeal made by the company.