Litchfield enquirer. [volume] (Litchfield, Conn.) 1829-current, 1829-09-03
LAW CASE,

LAW CASE.
The Phenir Bank %. O!irer Epcicott, &c.
This action was decided ut the term OF tho Superior
Court for this county, now holding IN this town-prc
sent, Hon. DAVID DAoaETT, Judge. Not having
been prcsen. during tho tendency a the trial, Il WINS
our inIen.on TO have applied 10 some Of the counsel
for an abstract Of tho caso when ound Il had been
reported probably by Mr.. shermanl In the Middle.
town Gaselle--and 10 Ms follows;
'Airhls was an action upon note ofhand for forty
thousand dollars, payable 10 the Plaintiff, or order
on demand, and executed by Frederick WoleoW as
prncipal and Oliver Wolcot. as surety, dated Nov.
90 1891, and on interest from the Goth Of tho same
month Frederick Wolco.t, admitting tho justice Of
the claim, suffered default Oliver Wolcott rested
tho defence on tho following fhc,ss--
The PhDnx Bank held elk notes, signed by Frede.
rick and Endorsed by Oliver Wolco,t, amounting to
about 10000 dollars. The Branch Bank Of the Uni.
ted States then located In Middelown, held note Of
twelve thousand dollars md the Eagle Bank Of New.
Haven another Of seven thousand, executed and in
Aersed In like manner. All these notes were over
due, and the United States Branch and Eagle Danks
were pressing tho defendants fer payment. Oliver
WocoW mAde written application 20 the plaintiffs
requesting them 70 pay the notes due TO the Branch
and Eagle Banks, consolidate the whole Into ono sum-
and take the Joint no.o Of himself and Frederick for
she amount payable ON demand with interest, and 40.
cured mortgage Of renl estate, Of which no give a
scheduo. Frederick Wolcott was tho proprietor Of
wooen mandatory, which he was then letting for
Eve years, TO Joshua Capp. Of Boston, who was to
pay him n rent Of about eleven hundred dollars year
and certain proportion Of tho profits. Tho defend
ants wished the revenues Of this establishment TO no
applied towards the principal ind interest Of their
debt 10 the Phrnix Bank II was accordingly agreed
thu, tho Plaintiffs should pay tho notes due TO the
United S,a,cs Branch and Eagle Banks, and tho De.
Pendants glvo tho note In question: (which equallcd
the consolidated debt into about 900 dollars, which
wns paid;) that tho Defendants should not DO pressed
Cor Judgment during tho continuance Of the lcnse-
that during That time tho note should stand on tho
same ground No a succession of notes renewed at 90
days. Tor 90 days and gracc,) and the interest on
much % should be due upon IT, from time TO time,
should DO paid in advance at the commencement Of
each period Of % days, the principles Of common
discount IN the same manner M if actual renewals
were made The parties preferred this to actual renew.
ais, left the Defendants equally libery,o pay the
ting and recording new mortgage deeds. whenever q
new note should DO given, and rendered more simple
AMI certain the slipuations in voluminous and CON-
plicaed covenant relative to lease Of the manuactc.
~, between Frederick Woicou and M. Clnpp; in
which, among other things, the latter agreed to make
tho above mentioned payments towards the interest
and principal Of the forty thousand dollar note. The
Cashier Of the Phoenix Bank computed the interest
on the notes which were over due, and the discounts
upon tho forty thousand dollar note, a, the rate Of 30
days Tor the l2lh part Of year.
Upon these facts, Oliver Wolcot by his counsel, in.
sisted that the note was usurious and void First, on
the ground that the interest was to be paid in Advance,
by way Of discount al the commencement Of every
period Of 90 days. Secondly, because the interest
was computed on all the at the rate Of 80 days
for month.
The Plaintiffs proved, by the dispositions OF numer-
ous mercantile gentlemen and officers OF Banks resi-
ding in Philadelphia, New.York. Boston and else
where, tia. whenever the time Of payment was ex'
pressed in note by certain number OF days, tins
mode Of computation had always been customary.
Mr. Capp paid the discounts on the note during the
period Of the lease, but the principal and the residue
Of the interest was still unpaid.
The Court charged the jury, that neither the pay
mens of interest in advance, nor the computation Of
thisty DAYS Coz month, did, in shs ease, ofissef con
sssnse usuFy; but they should find, thasthe arrange
/. menls heswesa the parties we're made with she cor
rups istsasou 10 svade the salute and secure 70 sh
'Paiasiis mere than lawful interest," Of which he saV
enc evidsnee they avsrdct the Dsisnd
ants.
The JuEy found verdict Cor the plaintiffs.
n. n. Ehsrmsn and asa BaeoR, EsqFB. for P9aiu
tihs.
N. b. Bsasdics and TFumes Smith, EsQrS' 20
DEFENDANTS"