The Role of Interest in Unjustified Enrichment Claims. Issue 1 (January 2021)

• Record Type: Journal Article
• Authors: Visser, Daniel; Whitty, Niall R
• Is Part Of: Edinburgh law review. Volume 25:Issue 1(2021)
• Page Start: 48
• Page End: 88
• Publication Date: 2021-01
• Subjects: Unjustified enrichment -- unjust enrichment -- interest on money -- pre-citation interest -- time value of money -- rate of interest; Law reviews -- Scotland -- Periodicals; Law -- Scotland -- Periodicals; Law -- Periodicals; 349.411
• DOI: 10.3366/elr.2021.0673
• Languages: English
• ISSNs: 1364-9809

Abstract

Abstract : This essay addresses the question: when should pre-citation interest be awarded in actions for unjustified enrichment in Scots law? The answer depends mainly on the definition of the elements of enrichment liability, the manner of acquiring the enrichment, the type of enrichment-debtor, and his or her state of mind. The essay argues that (a) generally the actual interest earned (or saved) should be awarded, aided by a rebuttable presumption that interest was earned at a specified rate; (b) interest should normally be awarded at market rates where the defender knows that s/he holds the money or asset unjustifiably; and (c) in enrichment by interference with the pursuer's rights to money or other assets, an interest award might represent the time-value of exercising those rights during the period of interference.