Southern Discount Co. v. Kirkland

Birdsong, Presiding Judge.

Bill and Merlene Kirkland, doing business as Kirby Sales & Service, sold vacuum cleaners, door-to-door, in Columbus, Georgia. The vacuum cleaners were usually sold on credit and financed through different financial institutions. The principal financing agency was Southern Discount Company. Doug Lucas was president of Southern. The Kirklands executed a Master Dealer Agreement with Southern wherein they agreed that Southern could retain 5% of any unpaid balance of any note purchased by Southern from the Kirklands. That sum would be deposited in a dealer’s Reserve Fund…