Gregg Co. v. Utuado Sugar Co.
District Court, D. Puerto Rico
Statement of Facts. The facts controlling this case may be briefly stated. R. A. Maefie, receiver of the Utuado Sugar Company, in this cause during the difficult times arising in the year 1913, found it necessary to borrow money to operate the receivership property.
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Statement of Facts. The facts controlling this case may be briefly stated. R. A. Maefie, receiver of the Utuado Sugar Company, in this cause during the difficult times arising in the year 1913, found it necessary to borrow money to operate the receivership property. Upon application to the court, an order was made on June 30, 1913, empowering him as follows: “On this day the receiver, having presented his petition representing the necessity of borrowing money for the purpose of carrying on the administration of the property of the Utuado Sugar Company under the administration of this court,…
1Opinion of the Court
HamiltoN, Judge,
delivered the following opinion:
1. While the master does not report specifically npon the point, the argument raises the question whether the provision for payment to Iglesias of $3 a bag under the contract of September 5, 1913, was usury. It is however difficult to see how this can constitute usury. It is a compensation provided in the contract for the handling and sale of the sugar in question. The compensation may be high, but the circumstances seem to show that it was necessary to pay high in order for Utuado to have the services rendered at all. A provision that the…
2Cases cited5 opinions
- Fosdick v. SchallSupreme Court of the United States · 1879
- Wood v. Guarantee Trust and Safe Deposit Co.Supreme Court of the United States · 1888
- Farmers' Loan & Trust Co. v. Grape Creek Coal Co.U.S. Circuit Court for the Southern District of Illnois · 1892
- Snively v. Loomis Coal Co.U.S. Circuit Court for the District of Eastern Missouri · 1895
- United States v. MooreDistrict Court, N.D. Illinois · 1883