Martel v. Lafayette Sugar Refining Co.

This is a suit on a promissory note, and the defense is failure of consideration, and denial that plaintiff is a holder in due course.

I

Defendant purchased from the Martel Apparatus Company certain sugar filters for the price of $20,000, of which $5,000 was paid when the order was given, $5,000 was to be paid on delivery, and the bálance after 30 days’ satisfactory operation. The contract guaranteed that the filters would handle satisfactorily the juice of 1,000 tons of cane daily, and the vendor agreed to refund the amount paid if the filters should not accomplish the guaranty.

When the…