Cain v. Stacy
Supreme Court of Arkansas
Appeal from Woodruff Chancery Court, Northern District; A. L. Hutchins, Chancellor; STATEMENT OE EAOTS. I. J. Stacy brought this suit in equity against W. R. Cain to obtain- judgment upon .a promissory note and to foreclose a mortgage given to secure the same. The answer sets up the defense of usury.
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Appeal from Woodruff Chancery Court, Northern District; A. L. Hutchins, Chancellor; STATEMENT OE EAOTS. I. J. Stacy brought this suit in equity against W. R. Cain to obtain- judgment upon .a promissory note and to foreclose a mortgage given to secure the same. The answer sets up the defense of usury. On the 15th day of May, 1919, W. R. Cain executed to I. J. Stacy a mortgage on certain chattels to secure an indebtedness of $4,000 evidenced by a promissory note bearing interest at the rate of 10'per cent, per annum from date until paid. The mortgage was given by Cain to Stacy to obtain a loan…
1Opinion of the CourtHart, J.
(after stating the facts). The first ground of usury relied upon by the defendant is that the notes bore 10 per cent, interest per annum from date until paid and that the plaintiff took out $200, the first six months’ interest, in advance.
In Ellis v. Terrell, 109 Ark. 69, and in Bank of Newport v. Cook, 60 Ark. 288, the court held that the taking of the highest rate of interest in advance on negotiations having not inore than twelve months to run is not usury.
Another ground for the alleged usury is that by the written agreement of the parties the payment to Stacy for his services in…
2Cases cited3 opinions
- Bank of Newport v. CookSupreme Court of Arkansas · 1895
- Habach v. JohnsonSupreme Court of Arkansas · 1918
- Ellis v. TerrellSupreme Court of Arkansas · 1913
3Cited by4 opinions
- Missouri Discount Corp. v. MitchellMissouri Court of Appeals · 1924
- Hartzo v. WilsonSupreme Court of Arkansas · 1943
- Sosebee v. BoswellSupreme Court of Arkansas · 1967
- Sosebee v. BoswellSupreme Court of Arkansas · 1967