Practice point: If the note does not contain an interest provision but is payable on demand, then interest accrues from the date of the demand, at the statutory rate for a judgment. Here, the only record evidence as to a demand for payment by plaintiff under the note is a demand letter dated July 24, 2009, and so that is the date from which the prejudgment interest should be calculated.
Student note: In an action on a promissory note, CPLR 5001 permits a creditor to
recover prejudgment interest from the date on which each payment of
principal or interest became due under the terms of the note until the
date on which liability is established.
Case: Gliklad v. Cherney, NY Slip Op 07919 (1st Dept. 2015)
Here is the decision.
Thursday's issue: Comparative negligence and the seat-belt defense in an auto accident action.