Norstar Bank v. Pickard

Memorandum: Plaintiff, Norstar Bank, sued to recover the principal and interest due on a promissory note. Defendants interposed an affirmative defense and counterclaim based on their claim that the interest charged by the bank was usurious. Plaintiff appeals from the order of Supreme Court denying its motion to dismiss the defense and counterclaim based on usury. In support of its motion to dismiss, the bank contended that the variable rate of interest charged on the loan should be averaged over the term of the loan for the purpose of determining whether the interest rate was usurious. The…