Crown Liability and Proceedings Act

Marginal note:Prejudgment interest, cause of action within province

• 31 (1) Except as otherwise provided in any other Act of Parliament and subject to subsection (2), the laws relating to prejudgment interest in proceedings between subject and subject that are in force in a province apply to any proceedings against the Crown in any court in respect of any cause of action arising in that province.

• Marginal note:Prejudgment interest, cause of action outside province

  (2) A person who is entitled to an order for the payment of money in respect of a cause of action against the Crown arising outside any province or in respect of causes of action against the Crown arising in more than one province is entitled to claim and have included in the order an award of interest thereon at such rate as the court considers reasonable in the circumstances, calculated

  • (a) where the order is made on a liquidated claim, from the date or dates the cause of action or causes of action arose to the date of the order; or

  • (b) where the order is made on an unliquidated claim, from the date the person entitled gave notice in writing of the claim to the Crown to the date of the order.

• Marginal note:Special damages and pre-trial pecuniary losses

  (3) When an order referred to in subsection (2) includes an amount for, in the Province of Quebec, pre-trial pecuniary loss or, in any other province, special damages, the interest shall be calculated under that subsection on the balance of the amount as totalled at the end of each six month period following the notice in writing referred to in paragraph (2)(b) and at the date of the order.

• Marginal note:Exceptions

  (4) Interest shall not be awarded under subsection (2)

  • (a) on exemplary or punitive damages;

  • (b) on interest accruing under this section;

  • (c) on an award of costs in the proceeding;

  • (d) on that part of the order that represents pecuniary loss arising after the date of the order and that is identified by a finding of the court;

  • (e) where the order is made on consent, except by consent of the Crown; or

  • (f) where interest is payable by a right other than under this section.

• Marginal note:Judicial discretion

  (5) A court may, where it considers it just to do so, having regard to changes in market interest rates, the conduct of the proceedings or any other relevant consideration, disallow interest or allow interest for a period other than that provided for in subsection (2) in respect of the whole or any part of the amount on which interest is payable under this section.

• Marginal note:Application

  (6) This section applies in respect of the payment of money under judgment delivered on or after the day on which this section comes into force, but no interest shall be awarded for a period before that day.

• Marginal note:Canadian maritime law

  (7) This section does not apply in respect of any case in which a claim for relief is made or a remedy is sought under or by virtue of Canadian maritime law within the meaning of the Federal Courts Act.