Court Opinion

ID: 9792504
Source: CourtListenerOpinion
Date Created: 2023-08-31 02:30:14.512513+00
Date Added: 2024-06-11T07:37:43.251288
License: Public Domain

HANSEN, Presiding Judge,
dissenting:
23 O.S.1981 § 22 provides for an award of interest on an obligation to pay money only when that obligation is breached. Inherent in this statute is the element of “breach”. There can be no breach of an obligation to pay money until there is an obligation to pay money. The majority holds Nunn v. Stewart is inapplicable to this case. I agree. Additionally it is my view that § 22 is also inapplicable to Shelter’s liability, in that Shelter had no obligation to pay money to Plaintiff until it was determined that the defendant, Sweeney, was responsible for the accident and thus liable for the damages sustained by Plaintiff. That liability arose at time of judgment, not before. Thus no pre-judgment interest is involved.
Herein the jury returned a verdict for Plaintiff for $12,500.00. Under 12 O.S. 1986 Supp. § 727(A), the trial court properly added interest from the date the suit was commenced to the date of verdict for a total of $14,784.40. Defendant Sweeney is therefore accountable to Plaintiff for that amount. Pursuant to this liability, Sweeney’s carrier, State Farm, is responsible for *751paying that portion of the $14,784.40 covered by its policy. The balance is owed by Shelter.
The trial court ordered State Farm to pay $10,000.00, its policy liability limits, plus costs and post-judgment interest. It did not order it to pay any of the pre-judgment interest. Although State Farm’s policy is not included in the record, the parties agree that the standard State Farm policy provided for payment of interest on the $10,000.00. Apparently the trial court interpreted State Farm’s policy not to cover pre-judgment interest on that amount.
The pre-judgment interest added to the $10,000.00 judgment is just one element of the loss sustained by Plaintiff. As stated by the majority, pre-judgment interest is properly an item of damages included in the judgment. Bossert v. Douglas, 557 P.2d 1164 (Okla.1976). Shelter’s obligation to pay damages is for the loss over and above State Farm’s obligation. It is immaterial whether this loss arises from prejudgment interest or otherwise.
Shelter is accountable for paying the damages owned by Sweeney over and above that which State Farm is obligated to pay under its policy. The trial court found that amount to be $4,484.70. Without either policy before this Court, I cannot agree the trial court erred. I would affirm.