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In-duplum rule applies to arrear interest not if capital payment deferred

Photo of Patrick Bracher (ZA)
By Patrick Bracher (ZA) on March 5, 2022

The in-duplum rule essentially provides that interest stops running when the unpaid interest equals the amount of the outstanding capital.  Our courts have repeatedly made clear that the in-duplum rule limits arrear interest to the outstanding capital sum.  The agreed accrual of interest on a capital sum, payment of which has been postponed, is not…

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Norton Rose Fulbright’s financial institutions team provides straightforward legal updates. Our lawyers offer local insights with an international perspective recognised worldwide. This blog focuses on the South African market and is about sharing knowledge with you. Blog posts are not legal advice.

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