Johnson v. Utley

Decided October 28, 1880

Court of Appeals of Kentucky · decided 1880-10-28

Case 15 — EQUITY APPEAL FROJI FRANKLIN CIRCUIT COURT. 1. There can be no forfeiture in this case, for, although the obligation is for ten per centum interest, and is usurious, inasmuch as the 4th section of the usury law was repealed by the act of March, 1878, appellant is entitled to recover his debt, with eight per cent, interest. 1.

Cited by 2 later decisions — most recently November 1917

2 state decisions

Good law ✅— No negative treatment on recordhow we know

Decided 1880-10-28

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JUDGE PRYOR

¶1delivered the opinion op the court.

¶2The forfeiture by the party loaning at a greater rate of interest than that provided'by the General Statutes and the subsequent amendments was in the nature of a penalty, and when the section authorizing the forfeiture was repealed by the act of March 2, 1878, there was nothing to prevent the obligee from recovering his debt with legal interest.

¶3The legal rate of interest by the act of March 2, 1878, is 6 per cent., and the appellant was entitled to recover his debt with that rate of interest. For this reason alone the judgment is reversed, and cause remanded, with directions to enter judgment accordingly.