The defendant brought a motion for summary judgment to dismiss the plaintiff's claim for prejudgment interest on a mortgage debt.
The parties had previously settled a construction lien dispute with a zero-interest mortgage due in 2008, which was paid off in installments as condominium units were sold, with the final balance paid after the plaintiff commenced this action in 2018.
The court held that the plaintiff was not entitled to prejudgment interest on amounts paid before the statement of claim was issued, but was entitled to prejudgment interest on the balance outstanding at the time the claim was issued, from the 2008 due date until payment.
