Pacific National Bank v. Hernreich

Jim Johnson, Justice.

This appeal involves two apparently conflicting Arkansas statutes.

Appellee George Hernreich, operator of a jewelry store in Fort Smith, executed three promissory notes payable to W. F. Sebel Co., Inc., a foreign corporation. Sebel Company, a wholesaler of diamond jewelry, was not qualified to do business in Arkansas. Hernreich had been doing business with Sebel Company for two decades prior to this litigation. The testimony reflects that this was their manner of doing business: Sebel Company’s salesman, Sam Leibson, with his entire stock of diamond jewelry, would call on…