Opinion ID: 578349
Heading Depth: 2
Heading Rank: 6

Heading: Interest Awards

Text: 45 Finally, we consider Kroll's appeal to vacate the award of pre-judgment interest, as well as Mutuelles' plea to augment the judgment because of the unfavorable currency fluctuation. 46 An award of pre-judgment interest is reviewable for abuse of discretion. Western Pac. Fisheries v. S.S. President Grant, 730 F.2d 1280, 1288-89 (9th Cir.1984). In diversity jurisdiction, state law governs all awards of pre-judgment interest. Lund v. Albrecht, 936 F.2d 459, 464-65 (9th Cir.1991). 47 California Civil Code §§ 3287 and 3288 authorize awards of pre-judgment interest. The district court relied upon § 3288, which provides: In an action for the breach of an obligation not arising from contract ... interest may be given, in the discretion of the jury. Cal.Civ.Code § 3288 (West 1970). California also grants this right to the trial judge. In re Pago Pago Aircrash of January 30, 1974, 525 F.Supp. 1007, 1012 (C.D.Cal.1981). The district court did not abuse its discretion in awarding pre-judgment interest. 48 We have refused to upgrade an award because of a decline in world oil prices. Stinnett v. Damson Oil Corp., 813 F.2d 1394, 1398 (9th Cir.1987). Our decision in Leslie Salt Co. v. St. Paul Mercury Ins. Co., 637 F.2d 657 (9th Cir.1981), is not in conflict. Mutuelles is not asking for an inflation surcharge, but for an additional award based on fluctuating currency prices. 49 Mutuelles contractually settled with the Morrills in dollars, not francs. See William McCrindle & Son, Ltd. v. Durant, 611 F.2d 89, 91 (5th Cir.1980). Although currency fluctuations caused Mutuelles to lose francs, it could have received a windfall had the fluctuation differed. The district court did not err in denying Mutuelles' petition. 50 Each party shall bear its own costs. 51 AFFIRMED.