The Massachusetts Supreme Judicial Court determined that the full payment of a $20 million judgment in a commercial property lease dispute stopped post-judgment interest from accruing during an appeal.
In a Tuesday ruling, the state high court sided with the defendant landlord, South Washington Street, which argued that post-judgment interest shouldn’t accrue during the appellate process, as the defendant already paid the $20 million judgment in favor of a car dealership, H1 Lincoln, doing business as Majestic Honda. The dealership argued it didn’t have full use and enjoyment of the judgment payment because the payment remains subject to risks and uncertainties of appeal. The defendants claimed that additional interest payment requirements were unjustified since they assumed significant financial risk because the plaintiff could expend the funds before they could prevail on appeal.