Bill > S967

This bill proposes to amend the existing law in Massachusetts regarding prejudgment interest rates. The key provisions of the bill are: 1. It replaces the fixed 12% annual interest rate on prejudgment awards with a variable rate calculated based on the weekly average 10-year constant maturity Treasury yield as published by the Federal Reserve System for the calendar week preceding the date of the judgment. 2. It applies the same variable Treasury yield-based interest rate calculation to prejudgment interest in cases involving damages for bodily injuries, death, or damage to property. 3. It ensures that the variable interest rate calculated under the new provisions is consistently applied across all relevant sections of the existing law. The purpose of these changes is to tie the prejudgment interest rate to a more market-based benchmark, instead of the previous fixed 12% rate, in order to more accurately reflect the time value of money during the prejudgment period.

Justice

https://malegislature.gov/Bills/191/S967