Civil Code - CIV
DIVISION 4. GENERAL PROVISIONS [3274 - 9566]
( Heading of Division 4 amended by Stats. 1988, Ch. 160, Sec. 16. ) PART 1. RELIEF [3274 - 3428]
( Part 1 enacted 1872. ) TITLE 2. COMPENSATORY RELIEF [3281 - 3361]
( Title 2 enacted 1872. ) CHAPTER 1. Damages in General [3281 - 3296]
( Chapter 1 enacted 1872. ) ARTICLE 2. Interest as Damages [3287 - 3291]
( Article 2 enacted 1872. ) 3289.
(a) Any legal rate of interest stipulated by a contract remains chargeable after a breach thereof, as before, until the contract is superseded by a verdict or other new obligation.
(b) If a contract entered into after January 1, 1986, does not stipulate a legal rate of interest, the obligation shall bear interest at a rate of 10 percent per annum after a breach.
For the purposes of this subdivision, the term contract shall not include a note secured by a deed of trust on real
property.
(Amended by Stats. 1986, Ch. 176, Sec. 1. Effective June 23, 1986.)