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Padilla v. Montano

9/29/1993

sums were not liquidated, certain, or a definite amount. Mother argues that the trial court's decision in this matter is in direct contradiction to the established law on prejudgment interest.


In response, Father argues that the denial of prejudgment interest is merited because the sums to which Mother is entitled are not liquidated, certain, or definite. In making this claim, Father relies on the trial court's finding of fact stating that the determination of the amount of child support that would have been awarded when Child was an infant is speculative and, by necessity, based on guess and conjecture. Father makes the distinction between this action, based on a statutory right, and a cause of action based in tort or contract, and argues that the same standard used for the latter causes of action should be applied to unspecified past child support obligations. That standard is that the amount due must be reasonably ascertainable in order for prejudgment interest to be awarded. See, e.g., . Father also argues that child support is, of course, money used to support the child and is not the loss of income. He argues that neither statutory nor common law provide for interest for a past child support obligation which has not been established or reduced to a judgment. In sum, Father argues that the sum ordered by the trial court is not definite or certain since it is the result of the trial court's exercise of its discretion to provide a sum it felt was equitable under the facts before it.


In New Mexico, we do not have a prejudgment interest case in the context of a factual situation dealing with both paternity and support. Rather, it appears that the issue most commonly arises in the context of contract disputes and torts. See, e.g., id. (prejudgment interest should be awarded as a matter of right where defendant has breached contract to pay definite sum of money); ), (no abuse of discretion in denying prejudgment interest in wrongful death action), cert. denied, 99 N.M. 358, 658 P.2d 433, cert. denied, 463 U.S. 1209, 103 S. Ct. 3540, 77 L. Ed. 2d 1390 (1983). The award of prejudgment interest is within the sound discretion of the trial court. . Prejudgment interest should be awarded as a matter of right when the amount owed can be ascertained with reasonable certainty, even though liability remains to be proven at trial. .


Another jurisdiction has, however, dealt with the prejudgment interest issue under the Uniform Act. In R.E.M. v. R.C.M., 804 S.W.2d 813 (Mo.Ct.App.1991), the court held that the mother's claim to recover past expenditures in a paternity action was unliquidated and did not earn prejudgment interest. In that case, the mother sought a declaration of the father's paternity of her minor child and an order for child support . The father admitted paternity. The Missouri court noted that the trial court has discretion in the matter of awarding prejudgment interest. Furthermore, the court reasoned that since the amount due to the mother was contingent upon the court's determination under the Act, the claim was unliquidated. It followed that no interest was due on the mother's unliquidated claim because the father did not know the amount he owed and could not be in default for not paying. Id. at 814.


General New Mexico case law on prejudgment interest and the analysis in R.E.M. provide the rationale for why the trial court did not abuse its discretion in denying Mother prejudgment interest. As noted in R.E.M., any amount Father may have owed for child support was contingent upon the trial court's determination of parentage under the Act. Id. Until that legal determination was made, Father was under no legal obligation t

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