Martin v. Adams
Supreme Court of Arkansas
Appeal from Chicot Chancery Court. James F. Robinson, Chancellor. To charge a lender with usury on account of the act of his agent in demanding a compensation from the borrower, which, added to the interest paid the lender, made an amount in excess of the legal interest, the lender must have had knowledge of the transaction, or the circumstance must be such as to charge him therewith. 51 Ark. 545. The agency of the Cor-bin Banking Company could not be proved by the…
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Appeal from Chicot Chancery Court. James F. Robinson, Chancellor. To charge a lender with usury on account of the act of his agent in demanding a compensation from the borrower, which, added to the interest paid the lender, made an amount in excess of the legal interest, the lender must have had knowledge of the transaction, or the circumstance must be such as to charge him therewith. 51 Ark. 545. The agency of the Cor-bin Banking Company could not be proved by the declarations of its ¡officers. 33' Ark. 251; 37 Ark. 17; 46 Ark. 222. Its acts did not really bind the lender at all, because…
1Opinion of the CourtBattle, J.
In 1883, the Corbin Banking Company did a general banking business, and acted as loan brokers in the negotiation of loans. At the same time the American Mortgage Company was a corporation organized in Scotland to lend money on mortgages on farms in the United States, Canada, and other countries, having its principal office m Edinburgh, Scotland, and an agent (J. K. O. Sherwood) in New York City, whose duty it was to examine the titles to the farms offered as security, and accept applications for loans, subject to the approval or rejection of his principal. As early as 1877 the banking company…
2Cases cited1 opinion
- Lafargue v. MarkleySupreme Court of Arkansas · 1892
3Cited by1 opinion
- Russell v. PaganSupreme Court of Arkansas · 1925