Practice question
A P100,000 money loan has no stipulated conventional or default interest. The due debt remains unpaid after proper demand places the debtor in delay on January 1, 2025. Assuming a full year of default and no other adjustment, what simple legal interest accrues on the principal for that year?
- P6,000
- P12,000
- P72,000
- Nothing solely because no conventional interest was written
- P100,000
Legal references
- Civil Code Articles 1169, 1956, 1959, 2209 and 2212: https://lawphil.net/statutes/repacts/ra1949/ra_386_1949.html
- Nacar v. Gallery Frames, GR 189871, August 13, 2013, main decision: https://lawphil.net/judjuris/juri2013/aug2013/gr_189871_2013.html
- Lara's Gifts & Decors v. Midtown Industrial Sales, GR 225433, September 20, 2022, main resolution: https://lawphil.net/judjuris/juri2022/sep2022/gr_225433_2022.html
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