Stiff v. Fogerson

COMPTON, Justice.

The question presented is whether statutory penalties for usury, in excess of the principal indebtedness plus the highest legal rate of interest, will support a judgment over for the borrower.

The applicable statute, § 53-607, 1941 Comp., provides:

“If a greater rate of interest than is hereinbefore, in section 1 (§ 53-606) allowed, shall be contracted for or received or reserved, the contract shall not therefor be void; but in any action on the contract proof may be made that a greater rate of interest has been directly or indirectly contracted for or taken or reserved, and…