Gates v. Hackethal

Citations

• 57 Ill. 534

Syllabus

<p>1. Consideration—agreement for an extension of time. If a debtor gives Ills note for an additional sum, upon an agreement for an extension of time fof the payment of the original indebtedness, but the agreement specifies no time for such payment, so that it may still be enforced presently, there will be no consideration for the new note.</p> <p>2. Usury—what constitutes. A purchaser of land being unable to meet his payments promptly, executed to his vendor a new note, payable in gold doin¡ or in United States treasury notes with a premium to be added equal to the difference between the value of gold, and treasury notes, on a certain day, which was largely more than the rate of interest allowed by law. The original contract was payable in treasury notes: Held, the new note was Usurious, as it gave to the vendor more than the legal rate of interest.</p> <p>3. Consideration—want of. Where the maker of a promissory note, which is payable in United States treasury notes, not being able to meet the same at maturity, gives another note to his creditor, payable in gold, in order to secure the latter against any loss by reason of the depreciation of treasury notes after the maturity of the original note, and before its payment, the second note given for such purpose will be without consideration.</p>