The Court held that where a party pleads a contractual right to interest in its list statement and opens its case on that basis, it is entitled to contractual interest even though the prayer for relief simply claims 'Interest' without specifying the contractual basis. Section 100(3)(b) of the Civil Procedure Act precludes an award of interest at court rates where interest is payable as of right under a contract. Where damages for rectification of defects are assessed at trial-date costs (reflecting updated labour and materials rates), no pre-judgment interest should be awarded on those damages, as the claimant has already received the benefit of cost escalation. On costs, the Court declined to award indemnity costs based on any of three Calderbank offers, finding it was not unreasonable for the offeree to reject offers that contained open-ended indemnity obligations or were made with inadequate time for consideration, and ordered each party bear its own costs given the mixed success across multiple issues.
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