Fant v. Thomas

Citations

• 131 Va. 38
• 108 S.E. 847
• 19 A.L.R. 280
• 1921 Va. LEXIS 5

Syllabus

<p>1. AGENcY•-A.utho~ity of Agent to Accept Overdue Interest-Case at Bar,&emdash;In the instant case the weight of the evidence was clearly to the effect that the payee of a note secured by a trust deed accepted the offer of the president of a bank to collect overdue interest upon the note, and that the same was collected and put to her credit in conformity with this understanding.</p> <p>Held: That notwithstanding that the payee might afterwards have determined not to accept the overdue interest, as she did not advise the officials of the bank of her change of attitude, the transaction was completed when the interest was collected and put to her credit.</p> <p>2. WAIvER-Effect of Waive'r-Notice of Intention.-Where a part3t to a contract waives a default in its terms, he cannot again establish his right to proceed strictly thereunder until he has given due notice of his intentions to the other party.</p> <p>3. IN~rEREsT-P~'ovision ii~ Comtraot as to Acceleration of Payment-Penalties and Forfeitures.&emdash;A provision in a contract, e. g., a note secured by a deed of trust, providing that in a specified event, e. g., failure to pay interest when due, the time for the payment of a certain sum shall be accelerated does not create a penalty or forfeiture against which a court of equity will relieve, but the provision for accelerating the time of payment of the whole debt in this manner may, of course, be waived by the creditor, and such waiver may be effected by the bare receipt of past due interest, even though the creditor at the time insists that he waives no rights by this acceptance of interest.</p>