KCC 1005/2005

This case involved a claim for legal interest to be calculated on an amount of money owed. A previous ruling had involved the cancellation of a partnership agreement. This meant this was a civil not commercial debt and legal interest did not apply.

Background

A claimant filed a case against a defendant and requested the court to appoint an expert in order to calculate the legal interest on an amount of money that the defendant owed him.

The court stated the case could not be considered because it had been previously settled.

The claimant appealed the ruling before the court of appeal. The court abandoned the appealed ruling and ruled the defendant should pay the claimant annual interest of 7%.

Decision

The defendant appealed the ruling before the court of cassation and stated in his grounds of appeal that the ruling had violated the law because the previous ruling had included the dismissal of a partnership contract which meanr that the responsibility was a civil one which did not entail the payment of legal interest according to Article 305 of the Civil Law.