Journal Name: Lloyd's Maritime and Commercial Law Quarterly

Abstract:

Prior to the prohibitory rule laid down by Lords Ellenborough and Tenterden in the nineteenth century, the common law used to award pre-judgment interest. Sempra Metals v IRC (2007) has now lifted that prohibitory rule, and interest awards are again legitimate. In the pre-Ellenborough period, interest was awarded on liquidated sums but denied on unliquidated sums. This distinction may help shape our understanding of how pre-judgment interest should be awarded today. The development of this distinction in England was prematurely cut short. Focusing on the contractual context, this article draws on a comparative and historical approach in order to make sense of the liquidation distinction and situate it within the larger context of the law on remedies.