David, J.
This case comes before our Court for the second time and arises out of a contract entered into between the State of Indiana, acting on behalf of the Family and Social Services Administration, and International Business Machines, Corp. to modernize and improve Indiana’s welfare eligibility system. We previously determined that IBM materially breached the contract and remanded the matter to the trial court to determine damages and appropriate offsets. After the submission of evidence and a full-day hearing, the trial court issued detailed findings and conclusions. It determined that damages to the State resulting from the breach totaled $128 million and that IBM was entitled to offsets in the amount of $49,510,795, resulting in a final judgment of $78,178,109 to the State.
Both parties appealed, raising various issues. Today we address one of the issues raised: whether IBM is entitled to post-judgment interest on its $49.5 million damages award running from the date of the original judgment in 2012 or running from the judgment on remand. Finding that the original 2012 judgment was not “final, –” we hold that the post-judgment interest due to IBM runs from the judgment on remand. We summarily affirm the Court of Appeals on all other issues and affirm the trial court on all issues.
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We hold that the post-judgment interest due to IBM stems from the judgment on remand. Under Indiana Code section 34-13-1-6, the judgment “draw[s] interest at an annual rate of six percent (6%) from the date of the adjournment of the next ensuing session of the general assembly….” Following the judgment in this case on August 4, 2017, the next ensuing session of the General Assembly adjourned on March 14, 2018. Therefore, the post-judgment interest due to IBM runs from March 14, 2018. We summarily affirm the Court of Appeals on all other issues and affirm the trial court on all issues.
Rush, C.J., and Goff, J., concur. Slaughter, J., concurs in part and dissents in part with separate opinion. Massa, J., not participating.
Slaughter, J., concurring in part, dissenting in part.
The Court summarily affirms an award of $125 million to the State as direct damages resulting from IBM’s breach of contract to update Indiana’s welfare system. A central premise of the appellate ruling we affirm is that the “Modernization” approach required by the parties’ Master Services Agreement is “essentially the same” as the more expensive “Hybrid” approach the State eventually implemented. IBM v. State, 112 N.E.3d 1088, 1101 (Ind. Ct. App. 2018), trans. granted. I am unable to join the Court’s summary affirmance because the record establishes that the Agreement required IBM to implement only Modernization and not Hybrid. Thus, I would treat the State’s additional costs to implement Hybrid not as direct damages subject to a $125-million cap but as consequential damages subject to a $3-million cap. On the separate issue of post-judgment interest, I join the Court.