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56 Ark. 334

Tillman v. Thatcher

Supreme Court of Arkansas

Decided June 11, 1892

Supreme Court of Arkansas · decided 1892-06-11

The note was void for usury. Acts 1887, p. 50, 51; 4Í Ark. 331. The account is thus left to stand upon its original merits. 35 Ark. 217 ; 105 N. Y. 539 ; 12 N. D. Rep. 48; 98 1ST. C. 107; 17 S. W. Rep. 713.

Relies on Humphrey v. McCauley · Marks v. McGehee · Rountree v. . Brinson

Good law ✅— No negative treatment on recordhow we know

Decided 1892-06-11

How this case has been cited

Cited by 7 later decisions — most recently October 1958

1 district · 6 state decisions

201892190019101920193019401950decided

Later decisions citing this case, by decade. The current decade is in progress, and our corpus holds fewer opinions from the most recent years, so the latest bars are undercounted — not a real decline.

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Hughes, J.

¶1The appellee, Thatcher, was indebted to the appellants, merchants at Dallas, Texas, for goods bought of them, in the sum of $355. Thatcher gave his note, dated at Texarkana, Ark., to the appellants for $355, bearing interest from date at 12 per cent per annum, in settlement of the account. The appellants, recognizing that the note was void for usury, sued on the original account. The appellee says the note was a satisfaction of the account, and pleads usury.

¶2The court refused to instruct the jury, at the plaintiff’s instance, that if the jury found from the evidence that the defendant was indebted to the plaintiffs in the sum of $355 upon an account for goods sold, and that the defendant gave the plaintiffs the note for the same bearing interest at the rate of 12 per cent per annum, the note was void for usury, and they should find for the plaintiffs. The court gave for the defendant four instructions, in effect the converse of the one refused.

¶3“If a security founded upon an antecedent lawful consideration becomes void, or tainted by an usurious element, the original demand will be revived and may be enforced.” Rountree v. Brinson, 98 N. C. 107. “The taint of the subsequent illegal contract does not relate back to or affect the original contract.” Humphrey v. McCauley, 55 Ark. 143 ; Marks v. McGehee, 35 Ark. 217.

¶4The court erred in refusing and in giving instructions.

¶5Reversed and remanded for a new trial.

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