National Bank v. JohnsonAnnotate this Case
104 U.S. 271 (1881)
U.S. Supreme Court
National Bank v. Johnson, 104 U.S. 271 (1881)
National Bank v. Johnson
104 U.S. 271
ERROR TO THE SUPREME COURT
OF THE STATE OF NEW YORK
1. The sole particular, so far as loans and discounts are concerned, in which sec. 5197 of the Revised Statutes places a national bank upon an equality with natural persons is in permitting it to charge a rate of interest allowed to them which is prescribed and limited by the laws of the state, territory, or district where the bank is located.
2. Although under those laws a contract between natural persons to reserve and pay upon the discount of business paper any stipulated rate of interest may be valid, such a contract, if a national bank be a party thereto, and the paper he in pursuance thereof transferred to it, is in violation of that section when such rate is in excess of seven percent per annum.
Official Supreme Court caselaw is only found in the print version of the United States Reports. Justia caselaw is provided for general informational purposes only, and may not reflect current legal developments, verdicts or settlements. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or information linked to from this site. Please check official sources.