Garth v. Cooper & Smith
Supreme Court of Iowa
Appeal from Dubuque Gily Court. Action on a promissory note; defense, usury. Erom tbe testimony of one of the defendants it appears that defendants had of plaintiff $800, for which they gave their note for $345, payable in one year. At the expiration of this time they paid him $100 on the principal, and $45 interest ; took up the original note, obtained an extension of time for another year; and for the balance executed the note in suit for $220, with interest after due.
Read the full summary
Appeal from Dubuque Gily Court. Action on a promissory note; defense, usury. Erom tbe testimony of one of the defendants it appears that defendants had of plaintiff $800, for which they gave their note for $345, payable in one year. At the expiration of this time they paid him $100 on the principal, and $45 interest ; took up the original note, obtained an extension of time for another year; and for the balance executed the note in suit for $220, with interest after due. Judgment for plaintiff in the sum of $155, and for the State for the use of the school fund for the 10 per cent interest.…
1Opinion of the Court
Wright, J.'
The reasoning used and principles recognized in Smith, Twogood & Co. v. Coopers & Clark, 9 Iowa 376, must settle this case against appellant. And to the same effect is Campbell v. McHarg, Ib. 354. The letter and spirit of these adjudications teach, that “ however it may be covered by changes and substitutions, if usury be found to exist, either directly or indirectly, its taint continues and affects all the parts through which it runs. The substitution *366of one contract for another, the taking a new note for the old one will not purge it.”
If it satisfactorily appeared that? the…
2Cases cited1 opinion
- Smith, Twogood & Co. v. Coopers & ClarkeSupreme Court of Iowa · 1859
3Cited by4 opinions
- Edworthy v. Iowa Savings & Loan Ass'nSupreme Court of Iowa · 1901
- Muchmore Equipment, Inc. v. GroverSupreme Court of Iowa · 1982
- Kinser v. Farmer's National BankSupreme Court of Iowa · 1882
- McCullough v. MitchellSupreme Court of Alabama · 1879