An Act relative to prejudgment interest rates

This bill changes how prejudgment interest is calculated in Massachusetts civil cases. It replaces the fixed 12% annual interest rate with a rate based on the weekly average 1-year Treasury yield published by the Federal Reserve, effective the week before the judgment date. The change applies to both Section 6B (for certain cases) and Section 6C (for other cases) of Chapter 231 of the General Laws. This directly affects plaintiffs and defendants in civil lawsuits where prejudgment interest is awarded, as the interest amount will now fluctuate with market conditions instead of remaining fixed. The policy shift moves from a set rate to a market-based calculation for determining pre-judgment interest.