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New law on the legal interest repealing G.O. 9/2000

The Government Ordinance no. 13/2011 (the “GO 13/2011”) on the penalty and remunerative legal interest for monetary obligations and regarding certain financial and fiscal measures in the banking sector was published in the Romanian Official Gazette Section I no. 607, of 29 August 2011.

Most important, it repeals the Government Ordinance no. 9/2000 on the level of the legal interest for monetary obligations.  The new law regulates the two types of interest applicable in relation to payment obligations, i.e., the remunerative legal interest and the penalty legal interest.

Also, the GO 13/2011 amends other enactments, such as the Law no.  253/2004 on settlement finality in payment and securities settlement systems, the Government Ordinance no. 9/2004 regarding certain financial guarantee contracts, the Emergency Government Ordinance no.  99/2006 regarding credit institutions and capital adequacy, the Government Ordinance no. 10/2004 regarding the bankruptcy of credit institutions.

Safe for few provisions, the GO 13/2011 entered into force 3 days after being published in the Official Gazette.