Strait v. British & American Mortgage Co.
Strait v. British & American Mortgage Co.
Opinion of the Court
The opinion of the Court was delivered by
It appears from the record that on December 16th, 1904, the defendant mortgage company loaned to the plaintiff herein, T. J. Strait, the sum of eight thousand five hundred dollars, plaintiff giving his five notes, payable at various times thereafter. The contract provided for eight per cent, interest, ten per cent, attorney’s fees, and, also, that should any one of the notes not be paid when it became due that then the defendant at its option might regard all the notes as due and bring suit for foreclosure. Plaintiff having failed to meet the first note foreclosure proceedings were instituted by the defendant and on October the 11th, 1906, judgment by default was entered against the defendant for ten thousand nine hundred and sixty-eight dollars and eight-nine cents. Thereafter, in December, 1906, plaintiff alleging that the ten per cent, attorney’s fee charged was not used for such purpose but was merely a method of charging usurious interest, brought this action under the usury laws of the State to recover the penalties therein provided.
The defendant answered, setting up four separate defenses. The third defense was : 1st, that the judgment had been transferred to W. H. Clyburn, without recourse; and 2d, defendant denies that it contracted for or collected any usurious interest. The fourth defense was that the matter was res judicata.
On March 13th, 1907, plaintiff moved, before Judge C. G. Dantzler, at Lancaster, to have these defenses stricken out as irrelevant and redundant and also demurred to them. Judge Dantzler refused to strike them out and overruled the demurrer as to each.
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It is the judgment of this Court, that the judgment of the Circuit Court be affirmed.
Reference
- Full Case Name
- Strait v. British and American Mortgage Co.
- Cited By
- 4 cases
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- Syllabus
- 1. Appeal does not lie from order refusing motion to strike out part of a pleading. 2. Res Judicata — Usury.—A separate action for penalty for collecting attorney’s fee in foreclosure suit as a method of collecting usurious interest is barred by a judgment in the foreclosure suit.