Contract — Purchase of promissory notes — Discount — Fraud — Usury.
1. Where defendant purchases promissory notes from a corporation at 10% discount, and agrees to sell them to plaintiff for the same rate of discount, and subsequently the plaintiff discovers that defendant was receiving from the corporation 15%, plaintiff may recover the difference between the 10 and 15 per cent discount.
2. In such case the defendant cannot claim that the transaction was one of discount and not of sale, and that there was usury in the transaction.
3. Usury arises between buyer and lender, not between successive purchasers of obligations already created.
PER CURIAM, January 21, 1931:
The opinion of the learned court below states clearly and correctly the issues involved, and upon that opinion the judgment entered is affirmed.