Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1859-10-15
mr.. n Payness BnI for tbs
ModtncatIon OF the Usury Laws.

ModineatIon OF the Usury avs.
The following Bill has been introduced into
the Senate by our Representative, Col Payne
A BILL To amend the Usury Laws, and "a
eurtail the profits Of Brokers and Note
sEcr1ox 1. Be Il enaetsd bT tie Geasral e.
ssrbly Of the STATE Of TenAesse, That whenev-
er any person, or persons, shall hereafter con
tract for the loan Of money, II shall, and may
De lawful for the lender or his assignee, to re-
cover a rate Of interest on the sum 90 loaned,
not exceeding 10 per cent per annums pro-
rided, that the parties to the contract shall
have 90 agreed, and such agreement be ex-
pressed in the face Of the contract, whether
the sam be Endorsed by bill, bond, note OF
other written instrument.
SEC. 2. Be It further enacted, That the rate
Of interest established BY law, shal continue
equal and uniform throughout the State as
heretofore, and no greater amount than six
per cent. shall be paid on any contract or obli-
cation, unless agreed on By the parties, &C
eording to tie conditions and provisions Of
this Bill.
SEC. 3. Be It further enaeted, That al laws
granting the privilege of discounting securi-
ties, or shaving notes, that com in conflict
with the provisions Of this Act, be, and the
same are hereby repealed; and hereafter, it
shall and may be lawful for any person or
persons to purchase notes, bills, bonds or 9TH
er securities for money, made for the purposes
Of sale, at a rate Of discount no. TO exceed 10
per cent. per annum: and If the same be
made to be due at the time Of sale, or a judy
ment confessed For such purpose, then the
same may be purchased at a discount not
greater than four per cent, to be taken from
the face Of the paper or judgment. Nor shall
il be lawful to exact a greater rate Of interest
on any such securities as those specified in
this section, than six per cent per annum,
from the parties owing or paying the same
SEC. l.. dad Be & further enacted, That If
any person or persons shall loan money az a
greater rate Of interest than ten per cent. IL
shall not be lawful for him or them to recover
any portion Of the interest so contracted for I;
and IL a greater amount OF interest than ten
per cent. per annum shall be paid for the use
Of money, the whole amount OF interest 80 re-
ceived, shall be recoverable at the suit Of the
person paying the same, his heirs, personal
representatives, or creditors, In any court Of
Tennessee having Jurisdiction Of such mat
tiers.
SEC. 5. Be Il further eaaefsd, That II any per
son. OF persons, shall purchase any note, bill,
bond or other obligation, for the payment Of
money at a greater rate Of discount than is
specified in the third section Of this act, where
the same is msde for the purpose Of sale, such
purchase shall be u~suriOus in the hands OF the
purcnasers 70 TIE tutl extent or me discount on
such paper, and the amount OF discount 50 IL
legally taken, shall be recoverable from the
party receiving the same, In like manner as
specified in the fourth section OF this aet- Nor
shall It be necessary to prove that the party
purchasing the psFer bad knowledge Of The
fact that it was made for the purpose Of being
sold or traded.
SEC 6. Be Il further eaGfe5, That the pro-
visions Of this act shall apply TO trustees Of
every description ; and it shall hereafter be the
duty on the clerks Of the different courts Of the
State, in making settlements with guardians,
administrators, executors or other trustees, to
examine them under oath as to the amount Of
interest REALIZED by them from trust funds
in their hands. and charge them with the same
on such settlement.
SEC T.. Be Il further enGcted, That any per-
son OF persons who shall violate the provisions
Of this law, shall be held subject to Indictment
az presentimsnt, as in other cases Of misde-
meanor, and shall be fnei in a sum not less
than ten dollars; o. il thejht5TesFVr discount
taken By sush offending parts be mote thanten
dollars, thenheshan paw, BY way/of hne, 10
the full amount 50 illegally eEzcted, and It
shall be the duty Of the Circuit judges to give
This law in charge Of the grznd j%uries.