Court Opinion

ID: 9772567
Source: CourtListenerOpinion
Date Created: 2023-08-29 17:22:40.445641+00
Date Added: 2024-06-11T07:31:45.739705
License: Public Domain

On Motion for Rehearing or to Modify Judgment or to Transfer to Court En Banc
PER CURIAM.
The appellants’ attack on the opinion is limited to our approval of the trial court’s order that interest at the rate of 6 per cent be paid from maturity upon the principal of the bonds and the interest coupons. Further, the motion deals only with the “interest on the bonds in suit” and does not specifically mention the interest coupons.
The interest coupons, pleaded by the plaintiffs in extenso and admitted by the district’s return to the alternative writ of mandamus, were payable to bearer and were expressed to be for the interest provided in the general obligation bonds. *942Thus, the coupons are written contracts for the payment of money and, since they made no provision for interest after their due dates, they are clearly within the purview of the statute, § 408.020. 30 Am.Jur., Interest, § 64, p. 54, states the rule as follows: "According to the great weight of authority, interest coupons or notes executed by the maker of a note or bond to evidence instalments of interest bear interest after maturity, although there is no express provision for interest, which rule has consistently been applied in cases of coupons attached to public securities and obligations.”
 With respect to the bonds themselves, the appellants now cite three cases, two involving promissory notes and the other a certificate of deposit in the nature of a promissory note, which hold that a provision for a certain rate of interest from date without more amounted to an agreement to pay interest at the rate specified after maturity as well as before. The bonds sued on were not introduced in evidence and there is no direct proof what their interest provisions were. The assertion in the district’s motion for new trial that there was a provision for interest from date cannot be accepted because the allegations of a motion for new trial do not prove themselves. Furthermore, it is doubtful if such a provision without more would be controlling in this case which involves bonds with interest coupons attached.
The plaintiffs’ petition alleges that all taxable property of the district was pledged “for the prompt payment of said principal and interest at maturity.” This allegation was also admitted by the district’s return. On the evidence before us, it appears that the bonds provided for the payment of interest to maturity only. Interest coupons were attached to each bond for all of the interest that the water district contemplated or agreed to pay. These coupons did not extend beyond the maturity date of the bonds.
Absent proof that a rate of interest after maturity was agreed upon, the rate provided by law applies. Section 408.020; Reitz v. Pontiac Realty Co., 316 Mo. 1257, 293 S.W. 382, 385 [4], No reason for changing our ruling having been shown, the motion for rehearing or in the alternative to modify the judgment or to transfer to the court en banc is overruled.