Does the federal prejudgment interest rate apply to an action brought under federal statute such as bankruptcy?

MultiRegion, United States of America

The following excerpt is from Mammo v. Sako (In re Sako), Adversary Proceeding No. 13-90210-CL, Bankruptcy Case No. 13-05182-CL7 (Bankr. S.D. Cal. 2015):

Further, "[t]he federal prejudgment interest rate applies to actions brought under federal statute, such as bankruptcy proceedings, unless the equites of the case require a different rate." Banks v. Gill Distribution Centers, Inc. (In re Banks), 263 F.3d 862, 871 (9th Cir. 2001) (citing Nelson v. EG & G Energy Measurements Group, Inc., 37 F.3d 1384, 1392 (9th Cir. 1994)). And, in particular, an action under 523(a)(2)(A) is a product of federal law engendering federal prejudgment interest. In re Eberts, No. CV 11-08827-MWF, 2013 WL 1248637, at *10-11 (C.D. Cal., March 27, 2013).

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