Interest

130AInterest payable on judgment debts etc.

1

If the creditor or owner under a regulated agreement wants to be able to recover from the debtor or hirer post-judgment interest in connection with a sum that is required to be paid under a judgment given in relation to the agreement (the ‘judgment sum’), he—

a

after the giving of that judgment, shall give the debtor or hirer a notice under this section (the ‘first required notice’); and

b

after the giving of the first required notice, shall give the debtor or hirer further notices under this section at intervals of not more than six months.

2

The debtor or hirer shall have no liability to pay post-judgment interest in connection with the judgment sum to the extent that the interest is calculated by reference to a period occurring before the day on which he is given the first required notice.

3

If the creditor or owner fails to give the debtor or hirer a notice under this section within the period of six months beginning with the day after the day on which such a notice was last given to the debtor or hirer, the debtor or hirer shall have no liability to pay post-judgment interest in connection with the judgment sum to the extent that the interest is calculated by reference to the whole or to a part of the period which—

a

begins immediately after the end of that period of six months; and

b

ends at the end of the day on which the notice is given to the debtor or hirer.

4

The debtor or hirer shall have no liability to pay any sum in connection with the preparation or the giving to him of a notice under this section.

5

A notice under this section may be incorporated in a statement or other notice which the creditor or owner gives the debtor or hirer in relation to the agreement by virtue of another provision of this Act.

6

Regulations may make provision about the form and content of notices under this section.

7

This section does not apply in relation to post-judgment interest which is required to be paid by virtue of any of the following—

a

section 4 of the Administration of Justice (Scotland) Act 1972;

b

Article 127 of the Judgments Enforcement (Northern Ireland) Order 1981;

c

section 74 of the County Courts Act 1984.

8

This section does not apply in relation to a non-commercial agreement or to a small agreement.

9

In this section ‘post-judgment interest’ means interest to the extent calculated by reference to a period occurring after the giving of the judgment under which the judgment sum is required to be paid.