Celian v. Coast Finance Corp.

September 12, 1931, the plaintiffs executed to H. S. Norman a promissory note and chattel mortgage. September 14th, Norman endorsed' the note “with recourse,” and assigned the chattel mortgage to defendant. In May, 1935, defendant instituted foreclosure proceedings by notice and sale. Plaintiffs caused the proceedings to be transferred to the superior court.

Plaintiffs alleged that Norman was merely the agent of defendant in making the loan which Was evidenced' by the note and secured by the chattel mortgage, and that the transaction was tainted with usury. Defendant denied these charges, and…