Higgins v. Smith

OPINION

ELLIS, Justice.

This is an appeal by writ of error from a default judgment awarding Appellee damages for breach of an oral contract for a loan plus attorney’s fees. We reverse the judgment of the trial court and remand for a trial limited to the issue of damages.

Appellee, James Max Smith, alleged that he loaned Appellants, Richard Higgins and Stephen O. Holleman, five thousand five hundred dollars to help them keep their liquor store business in operation and out of bankruptcy. The loan was made four hundred dollars in cash and the remainder by checks written over a three month period,…