National Bank of Commerce v. Backstrom

On October 7, 1964, Henry Backstrom executed a promissory note with the National Bank of Commerce as payee. The note in the sum of $25,788.73 provided for interest at 12 per cent per annum from March 13,1963.

The bank sued on the note and the defense of usury was raised. The trial court found that the note was usurious on its face but upon examining the entire transaction concluded that the essential elements of usury were not present. It then denied the defense, reduced the interest rate and entered judgment for the plaintiff. Defendant Henry Backstrom has appealed.

The defendant did not…