Vermont Prejudgment Interest Rate
United States Vermont prejudgment interest is discretionary — here is the rate courts apply.
Set by statute Discretionary
In Vermont, prejudgment interest is discretionary: a court may award it, and when it does the rate is 12% per year under 9 V.S.A. § 41a(a). Prejudgment interest is awarded AS OF RIGHT (mandatory) when the principal sum recovered is liquidated or capable of ready ascertainment (e.g., established market prices, contract amounts,…
When Vermont prejudgment interest applies
Prejudgment interest is awarded AS OF RIGHT (mandatory) when the principal sum recovered is liquidated or capable of ready ascertainment (e.g., established market prices, contract amounts, medical damages and lost wages in personal-injury cases). For other/unliquidated damages, it is DISCRETIONARY — awardable in the trier of fact's discretion where needed to make the plaintiff whole / avoid injustice.
When it starts accruing
Interest accrues from the date the cause of action accrued (the time of the loss/breach/injury) to the date of entry of judgment. For liquidated/ascertainable sums, from when the sum became due/ascertainable; for other pecuniary harms, from the accrual of the cause of action to judgment.
Simple or compound
Simple interest — 12% per annum applied to the principal from accrual to judgment; Vermont does not compound prejudgment interest.
→ Compare with the Vermont post-judgment interest rate (interest after judgment)
Prejudgment interest under 9 V.S.A. § 41a(a) — 12% (simple interest). This is PREjudgment interest (accruing before entry of judgment) and is separate from Vermont’s post-judgment rate; availability is limited by claim type (see the page). Verify against the statute text. Not legal advice.
Effective-date history
| Effective date | Rate | Basis |
|---|---|---|
| July 9, 2026 | 12% | Statute |
Source & provenance
Latest value retrieved July 10, 2026 (02:55 UTC) from the official source:
https://legislature.vermont.gov/statutes/section/09/004/00041a