Heard v. Farmers' Bank of Hardy

295 S.W. 38, 174 Ark. 194, 1927 Ark. LEXIS 352
CourtSupreme Court of Arkansas
DecidedMay 23, 1927
StatusPublished
Cited by6 cases

This text of 295 S.W. 38 (Heard v. Farmers' Bank of Hardy) is published on Counsel Stack Legal Research, covering Supreme Court of Arkansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Heard v. Farmers' Bank of Hardy, 295 S.W. 38, 174 Ark. 194, 1927 Ark. LEXIS 352 (Ark. 1927).

Opinion

Mehaeey, J.

This is a suit upon a promissory note for $750 and interest. The complaint alleg’ed that on the 15th day of January, 1919; the appellant executed to appellee his promissory note for $750, due 90 days after date and hearing interest from maturity at the rate of 7 per cent, per annum. That on the 17th day of April, 1919, the appellant paid the sum of $13.31 to the appellee for the purpose of paying the interest on said note to July 15, 1919, which payment was accordingly credited on said note, as -shown on reverse side of same. Judgment was asked for $1,128.07. The following is a copy of the note:

“$750 Little Bock, Ark., Jan. 15,1919.
“Ninety days after date we promise to pay to the order of the Farmers ’ Bank of Hardy seven hundred and fifty- and no/100 dollars at the office of the Union Trust Company, Little Bock, Ark., for value received, with interest maturity at the rate of seven per cent, per annum and thereafter until paid at seven per cent, per annum.
“The makers and. indorsers of this note hereby severally waive- presentment for payment, notice of nonpayment and protest.
‘ ‘ Geo. M. Heard,
“S. P. Turner.”
“Due 4-15-19, Little Rock. Due No. 5747.”
On the reverse side of the note is the following:
“April 17,1919 int. pd. to July 15,1919.”

Defendant filed answer, admitting execution of the note, but denying that he had ever made a payment o*f interest to July 15, 1919; denied that there was anything due on the note, and alleged that the cause of action was barred by the five-year statute of limitations. An amendment was thereafter filed to the complaint, stating that on the 17th day of April, 1919, the appellant paid to the appellee the sum of $13.31 for the purpose of paying interest on said note and extending the maturity thereof to July 15,1919, which payment was .duly credited on said note, as shown on reverse side of same.

A. M. Metcalf, cashier of the Farmers’ Bank of Hardy, testified in substance as follows: That the loan to appéllant was made through the Farmers’ Bank at. Hardy. That the note had not been altered nor changed in any manner; that the proceeds of the loan at the time that it was made were credited upon the books to the credit of George M. Heard; that he should judge that the money remained there something like a. week or ten days; that the appellant checked the money out in a lump sum; and that the note had not been paid; that there had been one interest payment;That the note matured on the 15th day of April, 1919, and that he notified the appellant and told him that the note would mature on such and such a date, and, if he desired an extension, the amount that would be necessary for a ninety-day extension, if lie wanted it, that the amount, including sixteen cents for revenue stamiDS, was $13.31. That he thought that the $13.31 was the interest payment from April 15 to July 15, and that he credited that interest payment on the note.

Here the attorney asked the following question: “Then you tell the jury, in response to that letter or notice that you sent- to Mr. Heard stating that the note would mature April 15, and that, if he wanted to extend the maturity date, it would be $13.15 interest plus sixteen cents revenue stamps, and in response to that he sent you $33:31?” The witness answered, “He did.”

On cross-examination Mr. Metcalf said that the loan was made on the very day of the date of the note. That the note was brought into the bank by Turner and Mr. Heard together. He notified appellant that there was three months’ interest due, by letter, but he did not have a copy of the letter. He just used a regular printed pad. He went out of the bank, December 1, 1919, and went back in 1923. S.. P. Turner died Christmas week, 1922. There had been no administration of the estate of S. P. Turner, but the estate is solvent, and the appellee could have collected the note from the estate of S. P. Turner if it had tried.

H. W. Trigg testified that he was assistant cashier of the People’s Savings Bank, and that the appellant had an account in his bank in January, 1919. He had in his possession the ledger sheet for the business of 1918 and 1919. Appearing thereon, under date of April 21, is a debit transaction of $13.31 to appellant’s account, and the record showed that the check was paid on April 21, 1919.

George M. Heard, the appellant, testified that S. P. Turner came to Little Bock on Monday, the 13th, and was in Little Bock, stopping at appellant’s house for several days; that on the 14th appellant took up the question of the advance to appellant, and it was agreed that they would give this note, and they went to the People’s Bank, and the check was passed to appellant’s credit.Appellant asked Mr. Turner for $750; Mr. Turner owed him more than that. Mr. Turner nwed him money. The note was made in Little Bock, on a blank of the Union Trust Company. Appellant and Turner went to the People’s Bank on tlae 15th, and that money was deposited to appellant’s credit, the amount being- $736.85. He asked Mr. Turner to advance bim $750 on wbat be pwed bim, and Mr. Turner told bim that be did not bave the money, and they agreed to give their note to the bank. The court interrupted here and said,That is not evidence at all — wbat Mr. Turner told him.” He does not know whether Mr. Turner carried the note away or whether it went through the bank here, but the proceeds of it were deposited to his credit at the People’s Savings Bank on that occasion; that he did not pay for the stamps. The amount of the interest shows that the stamps were paid for'by somebody else. Mr, Metcalf was mistaken about appellant being in his bank on the 15th of the month. He was -not there on the 15th of the- month; he was here (in Little Bock); the 15th of the month was the day Brough was inaugurated. The transaction was had on the 14th. It was unusually late, and was after banking hours; that the bank gave him a deposit slip dated the 14th, and held the money and it went to his credit the next morning, the 15th, and the next day the note was given for that amount. He was not at Hardy on the 15th. If anything was placed to his credit, somebody else did it. If the money was placed to his credit in the Bank of Hardy, he never did draw it out. He did not do any business with that bank. He thought that he was paying back interest. He never paid any interest on the note. Turner returned the money to him. His idea was that the note drew interest from date. He got $750. He was asked if he did not tell one of his attorneys, two or three weeks before the case was tried, that the note bore interest from date. The court sustained an objection to this question, and appellant excepted. Turner paid him the difference out of his own pocket; he got $750. Mr. Turner asked him to send the interest, and Turner paid it back to him. He didn’t know that there was ever a stamp put on the note. He sent a check for the interest to the Farmers’ Bank at Hardy. At the time that he sent the check for the interest, he had no thought of renewing the note. He was asked to send tlie money up there, and he did it. He did not ask Mr.

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Bluebook (online)
295 S.W. 38, 174 Ark. 194, 1927 Ark. LEXIS 352, Counsel Stack Legal Research, https://law.counselstack.com/opinion/heard-v-farmers-bank-of-hardy-ark-1927.