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Can The Court Impose Interest On Delayed Maintenance?

Answer By law4u team

Maintenance payments are financial obligations ordered by courts to support a spouse, child, or dependent. When these payments are delayed, the aggrieved party suffers financial hardship. Courts, to ensure fairness and discourage default, may impose interest on the delayed payments. The authority to grant interest arises from statutory provisions and judicial precedents aimed at enforcing timely compliance with maintenance orders.

Legal Basis For Imposing Interest On Delayed Maintenance

Statutory Provisions

Some family laws or maintenance statutes provide explicit authority for courts to impose interest on unpaid or delayed maintenance amounts as a form of compensation for the delay. For example, under the Code of Civil Procedure (CPC) in India, courts can award interest on money decreed to be paid.

Judicial Discretion

Where no specific statute exists, courts often rely on their inherent powers and principles of equity and justice to impose interest on maintenance arrears. This discourages wilful default and compensates the claimant for the time value of money lost.

Rate of Interest

The rate of interest is typically determined by the court and may align with statutory interest rates, such as those prescribed under the Indian Contract Act or prevailing bank rates, unless specified otherwise.

Enforcement of Maintenance Orders

Interest is usually imposed when maintenance payments have been ordered but not paid within the stipulated time, resulting in arrears. The court’s intervention helps in effective enforcement and timely receipt of maintenance.

Practical Implications

Interest acts as a deterrent against late payments by the maintenance payer.

It provides financial relief to the maintenance recipient for the delay.

The court may also direct recovery of interest as part of the decree through attachment of property or salary deductions.

It ensures that the purpose of maintenance — financial support — is not defeated by delays.

Example

A husband is ordered by the court to pay monthly maintenance to his wife. He defaults on payments for six months. The wife files an application seeking the arrears along with interest.

Steps the court may take:

Calculate the total amount of unpaid maintenance (arrears).

Determine a reasonable interest rate based on statutory guidelines or past precedents.

Pass an order directing the husband to pay the arrears along with interest from the date each payment was due until full payment.

Direct enforcement measures if the husband still fails to comply, such as attachment of salary or property.

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