Garnett v. Associate Discount Corp.

On February 26, 1955, the appellant Jack B. Garnett traded his automobile on which he owed a balance of $226.48 to the G. M. A. C., in exchange for a new Ford automobile sold to him by the Bob Arnold Motors, Inc., at Birmingham, Alabama. The appellant received a net credit of $800 for his car on the new Ford automobile, the cash price of which was $2,640. The dealer was to pay to the appellant $1,026.48 for his car by paying off the indebtedness of $226.48 owing by the buyer to the G. M. A. C. and allowing him the net credit of $800 for his old car on the price of the new Ford.

At the time the…