Golden State Lanes v. Fox

Usury. Plaintiff Golden State Lanes, Inc. sought relief from an alleged usurious agreement, and appeals from a judgment entered for defendants, the Fox Group, after a nonjury trial. Plaintiff contends the transaction between it and the Fox Group constitutes a usurious loan as a matter of law.

The events leading up to the disputed transaction began on May 18, 1959, when plaintiff Golden State secured a 20-year lease on premises from Haberfelde, at a rental of $1,050 a month plus percentage, for use as a bowling alley complex in Bakersfield, California. Under the Haberfelde lease Golden State…