Interest rates are compensation for the time-value of money, and are calculated on judgments (the amount of money one party to a lawsuit is ordered to pay another party) based on the applicable state or federal statutes. There are often different interest rates set by law for prejudgment interest (the interest on the amount owed before the judgment) and post-judgment interest (the interest on the amount owed after the judgment). The calculation of prejudgment and post-judgment interest rates vary from state to state (and in federal court), and require a careful analysis of the statutes.

In Delaware, interest rates on judgments are governed by state law. Prejudgment interest, which is the interest accrued from the time the money is owed until a judgment is entered, is not automatically awarded in Delaware. It is typically at the discretion of the court and may be awarded based on equitable principles or under specific contractual terms agreed upon by the parties involved. Post-judgment interest, on the other hand, is the interest that accrues after a judgment has been entered. In Delaware, the legal rate of post-judgment interest is set at 5% over the Federal Reserve discount rate, including any surcharge as of the time from which interest is due, unless the judgment is based on a statute, contract, or note that specifies a different rate of interest, in which case the specified rate will apply. It is important to consult the specific statutes and potentially an attorney to understand how these interest rates may apply to a particular judgment.