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14 Tex. 600

Payne v. Powell

Texas Supreme Court

Decided July 1, 1855

Texas Supreme Court · decided 1855-07-01

Suit by appellee against appellants, on a note executed by them and one Reuben D. Wood, (who was alleged to be dead) for $100, payable twelve months after date, with interest at twelve per cent.

Cited by 6 later decisions — most recently June 1918

6 state decisions

Good law ✅— No negative treatment on recordhow we know

Decided 1855-07-01

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Wheeler, J.

¶1The agreement, set up in the answer, as an agreement to give further time to the principal debtor, whereby the sureties are discharged from their liability, being an agreement to pay, for the use of money loaned, a larger premium,-or rate of interest, than is allowed by law, was usurious and void. (Hart. Dig. Art. 1609; 1 Wend. R. 555; 6 Id. 415.)

¶2It is well settled, that the. mere giving of time to the principal debtor, without a binding agreement to that effect, will not discharge the surety. (Burke v. Cruger, 8 Tex. R. 66; Cruger v. Burke, 11 Id. 694.) And it seems equally well settled, that an executory contract, or promise to pay usurious, interest, not being obligatory on the principal, and the agreement to give time, consequently, being without consideration and void, such an agreement will not discharge the surety. (7 B. Monroe, 218; 6 Id. 287; 3 Id. 262; 1 Id. 322, 325.) *602We are of opinion, therefore, that the Court did not err in sustaining exceptions to the plea setting up this defence. The judgment is affirmed.

¶3Judgment affirmed.

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