The appellant bank appealed from Small Claims Court decisions where the trial judges declined to award contractual interest and pre-proceeding collection expenses on uncontested credit card debt claims.
The Divisional Court allowed the appeals, holding that pre-proceeding collection expenses calculated as a fixed percentage of the debt constitute a liquidated demand for money.
The Court also held that, absent exceptional circumstances, pre-judgment and post-judgment interest must be awarded at the rate stipulated in the credit card agreement.
