Kidd v. J. Walter Bros.

The question presented is whether a transaction between plaintiff Charles N. Kidd and defendant J. Walter Brothers was usurious.

Kidd desired to buy property in Virginia Beach listed for sale at $29,000, but was unable to obtain the necessary financing from conventional sources. Brothers agreed that he would lend Kidd $29,000 at 8% interest. Upon advice of counsel respecting th'e usury laws, however, they agreed orally that Brothers should buy the property and resell it to Kidd.

By contract dated September 8, 1964, Brothers agreed to buy the property for $28,000 from the owner, Harold W. James.…