Bill > SB1059

This bill amends Section 44-1201 of the Arizona Revised Statutes, which relates to interest rates. The key provisions of the bill are: 1. It sets a maximum interest rate of the lesser of the annual rate equal to the weekly average one-year constant maturity treasury yield or 3% per year for medical debt. This maximum interest rate also applies to judgments on medical debt. 2. For any loan, indebtedness, or obligation other than medical debt, the interest rate is set at 10% per year, unless a different rate is agreed to in writing. 3. For judgments other than those on medical debt, the interest rate is set at the lesser of 10% per year or 1% plus the prime rate published by the Federal Reserve. The applicable interest rate will be specified in the judgment and will not change after it is entered. 4. The bill also prohibits courts from awarding prejudgment interest on unliquidated damages, future damages, punitive damages, or exemplary damages, and from awarding interest on future damages, punitive damages, or exemplary damages.