[Direct answer]In the Beijing area, the method of calculating the interest on the doubled portion of the debt is specified by judicial interpretations. The "Interpretation of the Supreme People's Court on Several Issues Concerning the Application of Law in Calculating the Interest on Debts During the Period of Delayed Performance in Enforcement Procedures" (effective as of August 1, 2014) stipulates that the interest on the doubled portion of the debt equals the monetary debt determined by the effective legal documents that the debtor has not yet repaid, excluding the general interest on debt, multiplied by 1.75 per thousand per day, and then multiplied by the period of delayed performance; this interest shall be calculated from the date on which the performance period determined by the effective legal documents expires. The procedural basis is the provisions of the "Civil Procedure Law of the People's Republic of China" (amended and implemented as of January 1, 2022) that the debtor shall pay double the interest on debts during the period of delayed performance if he fails to perform the obligation to pay money within the specified period according to the judgment. Therefore, the calculation formula is fixed, and the key lies in determining the calculation base and the period of delay.
1. Problem background and typical scenarios
Many creditors are unaware that there are punitive interest penalties for delayed performance. Typical scenarios include: whether the creditor can claim punitive interest together with the application for enforcement after the judgment takes effect; how to determine the base amount for doubled interest when the judgment orders both the principal and the breach of contract penalty; how to calculate the number of days between the expiration of the performance period and the date of filing the enforcement case; how to adjust the base amount after the debtor makes partial repayments; and the impact of enforcement settlements on interest calculation. When handling enforcement cases in the Beijing area, lawyers usually list the doubled debt interest together with the application for enforcement.Creditor's rights and debts, and enforcementIn business, determining the calculation base is a common point of contention.
II. Key points of contention
Focus One: The scope of the calculation base for the interest on the doubled portion of the debt. Focus Two: The distinction between the interest on the general debt and the interest on the doubled portion of the debt. Focus Three: The starting and ending dates of the delay in performance. Focus Four: How to adjust the calculation base and the time period after partial performance. Focus Five: The impact of an enforcement settlement agreement on interest. Focus Six: How to handle cases where the content of the enforcement basis is unclear. Focus Seven: Whether the interest on the doubled portion of the debt can coexist with the penalty for delay in performance.
III. Professional analysis by Henglue Lawyers
Henglue Law Firm advises that the claims in the execution stage require a clear description of the calculation process. During the case handling, it is usually processed in three steps: First, determine the calculation base, which is the monetary debt specified in the effective legal document, excluding the general debt interest, and deduct the part that has been fulfilled; Second, determine the starting and ending dates of the delay in performance, generally starting from the day after the expiration of the performance period and ending on the date of actual repayment; Third, calculate the interest on the doubled portion of the debt by multiplying 1.175% of the daily amount by the number of days, and claim it to the court when applying for execution. If the judgment also determines the general debt interest (such as interest calculated according to the interest rate), this part is usually not included in the base of the doubled portion, and the two are calculated in parallel. For the partial performance by the debtor, the base and calculation period should be adjusted in time to avoid duplication or omission. The above calculations need to be checked with the execution judge, and if necessary, a calculation list and performance certificates should be submitted to ensure the accurate implementation of the execution process.
IV. Practical suggestions and legal basis
Action suggestions: First, apply for enforcement promptly after the judgment or mediation takes effect to avoid the risk of statute of limitations and property changes; Second, prepare a calculation list, listing the base amount, start and end dates, and number of days item by item; Third, organize the part of the debtor's performance and the time, and adjust the calculation dynamically; Fourth, pay attention to the content of the enforcement settlement and clarify whether it affects the claim for interest; Fifth, if necessary, apply to the court for property inquiry and freezing. Legal basis: "Interpretation of the Supreme People's Court on Several Issues Concerning the Application of Law to Calculate the Interest on Debts for Delayed Performance in the Enforcement Procedure" (effective on August 1, 2014); Provisions on the interest on delayed performance in the "Civil Procedure Law of the People's Republic of China" (amended and implemented on January 1, 2022). For matters related to enforcement, please refer to the relevant provisions.Creditor's rights and debts, and enforcementThe specific application shall be subject to the currently effective laws, regulations, and judicial rulings.
5. Henglu Law Firm's Advice
Firstly, there is a clear calculation formula for the interest on the doubled portion of the debt, which can be calculated by oneself. Secondly, the calculation base does not include the general debt interest. Thirdly, the starting date is generally the day after the expiration of the performance period. Fourthly, the base and period should be adjusted in time after partial performance. Fifthly, the impact of interest on the execution and settlement should be clearly stated. For matters involving execution, it can be resolved throughCreditor's rights and debts, and enforcementConsultation. The rules on statute of limitations and evidence shall be subject to the current effective laws and regulations and judicial decisions. For further information on the relevant procedures and practical points, please refer to our firm's materials.Creditor's rights and debts, and enforcementAndBusiness and contract disputes in enterprises.
VI. Frequently Asked Questions
Q1: How to calculate the interest on the doubled portion of the debt?
According to the "Interpretation of the Supreme People's Court on Several Issues Concerning the Application of Law in Calculating the Interest on Debts for Delayed Performance in the Enforcement Procedure" (effective from August 1, 2014), the doubled part of the debt interest equals the monetary debt determined by the effective legal documents that the debtor has not yet repaid, excluding the general debt interest, multiplied by 1.75 per thousand of the daily interest rate, and then multiplied by the period of delayed performance. When calculating, the part that has already been performed needs to be deducted.
Q2: What is the difference between general debt interest and the interest on the doubled portion of the debt?
Generally, the interest on debt is the interest determined by effective legal documents and generated based on agreed or statutory interest rates, which belongs to the debt itself; the interest on doubled part of the debt is a punitive interest for delayed performance, calculated at 0.175% per day, and is not included in the base amount of the former. The two can be calculated in parallel, so when the creditor claims, they should list them separately.
Q3: When does it start counting from?
Generally, the time limit for performance specified in a legally effective document shall be calculated from the day following the expiration of the time limit until the date of actual payment. If the time limit for performance is not specified in the legal document, the starting point shall be determined in accordance with relevant provisions. Since the starting point directly affects the amount, it is recommended to submit a calculation list when applying for enforcement, specifying the start and end dates and the number of days for each item, which will facilitate verification.
Q4: If the debtor has repaid part of the debt, how should the amount be calculated?
The basis should be the remaining monetary debt that has not yet been repaid, and the calculation period should be adjusted accordingly. In practice, it is common to calculate in stages: determine the base and the number of days before and after each performance, and then add them up to obtain the total amount. It is recommended to keep the vouchers and time of each performance and submit them to the court for verification to avoid double counting or omissions.
Q5: What materials do I need to prepare for applying for enforcement?
It usually includes: the application for enforcement, the effective legal documents and the certificate of effectiveness, the applicant's identity materials, the clues to the debtor's property, the explanation of the performance situation, and the calculation list of the interest on the doubled part of the debt. If the case is entrusted to a lawyer for representation, the power of attorney materials must also be submitted. Having all the necessary materials will help the enforcement process start as soon as possible and ensure the accurate calculation of the amount.
The above content is based on the judicial practice in the Beijing area. The facts of individual cases and the jurisdiction of the court may affect the conclusions. Welcome to consult Henglu Law Firm for specific cases.
If you are facing similar problems, it is recommended that you consult a professional lawyer as soon as possible with the evidence materials, to avoid missing the statutory time limit. →Legal services for creditor-debtor disputes·Beijing Henglue Law Firm
Disclaimer: This article is compiled based on the current effective laws and regulations and public adjudication rules, and is for general reference only. It does not constitute a formal legal opinion on specific cases. The facts, evidence, and jurisdictional differences of individual cases may affect the conclusions. If you encounter disputes, please consult a practicing lawyer in time.