Equitable Savings & Loan Ass'n v. Barnes

Citations

• 69 Wash. 1
• 124 P. 118
• 1912 Wash. LEXIS 835

Syllabus

<p>Interest — Bate — Contract—Fraud—Mortgage Note—Fraudulent Representations. Only seven per cent per annum can be collected on the foreclosure of a mortgage, where the note called for 108 monthly payments, each of which was slightly in excess of the accrued interest at date of payment, thereby decreasing the principal, and was ingeniously drawn with much detail, studiously avoiding any express statement relative to the annual rate of interest, so that it required considerable intelligence and business capacity to understand its import, and the payee represented that it called for less than seven per cent per annum, when in fact the interest aggregated nearly twelve per cent on the unpaid principal, and the makers had agreed to make a loan at seven per cent and failed to comprehend the legal effect of the intricate and involved expressions employed, and believed and acted upon the representations that it called for less than seven per cent.</p>