United States Supreme Court Cases & Opinions

U.S. Supreme Court

Farmers' & Mechanics' National Bank v. Dearing, 91 U.S. 29 (1875)

Farmers' & Mechanics' National Bank v. Dearing

91 U.S. 29

Syllabus

1. The only forfeiture declared by the thirtieth section of the Act of June 3, 1864, 13 Stat. 99, is of the entire interest which the note, bill, or other evidence of debt, carries with it or which has been agreed to be paid thereon when the rate knowingly received, reserved, or charged by a national bank is in excess of that allowed by that section, and no loss of the entire debt is incurred by such bank, as a penalty or otherwise, by reason of the provisions of the usury law of a state.

2. National banks organized under the act are the instruments designed to be used to aid the government in the administration of an important branch of the public service, and Congress, which is the sole judge of the necessity for their creation, having brought them into existence, the states can exercise no control over them nor in any wise affect their operation except so far as it may see proper to permit.

Page 91 U. S. 30

The facts are stated in the opinion of the Court.