Phenix gazette. [volume] (Alexandria [D.C.]) 1825-1833, 1829-09-03
From the Mdidlesex (Con Gazette.
LAW CASE
PHGSrx BANK, LHehyfela Super. Couri,
Us. RuguSt Term, a. ID.
OLIVER WoLcoTr, &c. 1929.
Hon, DAVID DAeGErr, Judge.


OLIVER WoLcoTT Sc. 1929.
Hon, DAVID DAeGETT, Judge.
This was an aCIiun upon note OF hand for
forty thousand dol.a IS, payable To the Plaintiffs
or order. on demand, and executed by Frederic k
Wolcou as principal, and Oliver Wolcoit as
sarey, dated Nov 90, 1921, and on Interest
from the 20'h Of the same month. Frederick
Woleo;t, admitting the justice OF the claim,
suffered a default. Oliver Wolcoti rested The
defence on the following facts:
The Phoenix Bank held six notes, signed by
Frederick ard endorsed by Oliver Woicou,
amounting 10 abou 30, GOO dollars. The Branch
Bark Of the United Siars then located ~ Md
t,leiown held note OF twelve lhouS nd dollars,
and he Eagle Bank Of New Haven another OF
seven thousand, executed and Endorsed IN like
manner. All these notes were over due, and The
Uni,edt States Branch and Eagle Banks were
pressing the defendants for payment. Oliver
Wolcot: made written application 10 the plaIr-
Ifl,, requesting them 10 pay the notes due to the
Branch and Eagle Banks, consolidate the whole
into one sum- and take the joint nore of him
self and Frederick Ger the amount, payable on
demand with interest, and secured mortgage
Of real estate, of which he gave schedule
Frederick Wolcott was the proprietor Of d
wooden mandatory, which he was then letting,
was 10 poy him a rent Of about eleven hundred
dollars year and certain proportion Of Tie
profits. The defenda:t wished tho revenues
Of tnis esr establishment to be applied towards he
2riocipal and ntercs Of heir deb to the Phe-
nix nix. II was accordingly agreed that The
plaintiff should pay The noss due TO the Uni,ed
States Branch and Eagle Banks, and the de-
PENDANTS K i've the note in question, which equal
led the consolidated deb, into about 200 dollars,
which was paid; j that the defendants should
not be pressed for Iudgmen, during The CONT
uuance Of the lease-that during that Time the
Toe should stand on the same ground as sue
cession Of notes renewed al 90 days. Cor 95
days and grace,) and ne interest on so much as
should De due upon il, from time to time, should
be paid in advance at the commencement OF
each period Of 90 lays, on he principles Of
common discount, IN the same manner as II
actual renewals were made. The parties pre-.
ferred this 10 actual renewals, as II left the de-
rendanls equally al liberty 10 pay the notes when
,hey pl, asrd, saved The trouble of executing
and recording new mortgage deeds whenever
NV note should be given, and rendered more
simple and certain The sipulati"ns In a volu
minou, and complicated Covenant relative to
Jesse Of the mandatory, between Frederick
Wolcott and NJ. Clapp; in which, among 9th
er things, thc after agreed 20 make the above
mentioned paVm,nrs TO" ards The inieres and
prinoip pal Of the forty housand dollar note
The Cashier Of The Ph9ni1 Bank computed
the interest on The no Is which we're oyer due,
and the discounts upor 'he forty thousand dol
lar note, at the tate of 80 day for the 10Th part
of year.
Upon these facts. Oliver Woolco,t, by his
counsel, Insisted that ihc n",e was usurious
and void. FIRST, on me ground that the inre-
rest was TO b. p,id in Advance, by way of
discount at the commencement IT every period
of 90 days. Secondly, becaase Inc interest was
computed on all The notes a. The rate OF 30 DAYS
for a month
The Plaintiffs proved, by the deposition of
numerous mercantile gentlemen and Ulcers Of
Banks residing in Philadelphia, New York,
Boston and elsewhere. that whenever the time
Of paymen, was expressed in noie BY GER
tain number Of days, this mode of compu,a-
ZION had always been customary.
Mr.. C!app paid the discounts on the note
during the period Of the lease, but the princi-
bal and the residue Of The interest were still un-
paid.
The Court charged the jury that neither the
payment Of interest in advance, nor the com
putation on thirty days for month, did, in this
case, of itself, constitute usuy; but if they
should find, that the arrangements between the
parties were Inade with the corrupt intention
10 evade the statute and secure 10 the Plaintiffs
more than lawful interest, Of which he saw no
evidence, they must return verdict for the De-
PENDANTS.
The Jury found verdict foi the plaintiffs.
r. NJ. Sherman and Asa Bacon, Esqrs. for
Plaintiffs. n B. Benedict and Truman Smith,