Case ID: scl_18/html/0574-01.html
Source: Caselaw Access Project
Author: {"author": "\n      Per O’Neall, J.", "license": "Public Domain", "url": "https://static.case.law/"}
Date Created: 2024-08-24T03:29:51.129683

William Chastain v. Jacob M. Johnson, Adm’or. of Isaac Johnson.
    The plaintiff sold a parcel of cotton to the defendant’s intestate, on a credit, and took his note for the amount; but surrendered it, when it came to maturity, on receiving a new note for the amount of the debt, with the addition of an usurious interest, for which he stipulated as the consideration of further indulgence : and in an action against the defendant, on the new note, was defeated upon the plea of usury. Held, that he was nevertheless intitled to recover in a new action for the price of the cotton.
    Taking the note of the debtor for a pre-existing debt, is not a payment of the latter, unless there be a special agreement, that it shall be thereby extinguished, or unless the creditor parts with the note, vide 5 Johns. 72. 8 Id. 389. 1 M’C. 449.
    A subsequent agreement to pay an usurious interest will not avoid a contractwhichwas legal in its inception. Bac. Abr. Usury, (E.) 1 Esp. Rep.274, 1 East, 92.
   Per O’Neall, J.

affirming the decree of Mr. Justice Martin, at Abbeville, Fall Term, 1831.

Johnson, J. concurred.