(On Appeal from the Court of Appeal in England.)
Subject_Money Lenders Act 1900 (63 and 64 Vict. c. 51) — Harsh and Unconscionable Transaction — Proof — Excessive Interest — Onus — Section 1.
“Excessive interest of itself is sufficient to render a contract harsh and unconscionable. Proof of excessive interest may of itself, therefore, be sufficient to entitle the debtor to relief. What amounts to excessive interest is to be determined by the tribunal in each case, the question of risk being a material matter for consideration. When excessive interest is apparently established, any facts that tend to show that such excess does not render the contract ‘harsh and unconscionable’ should be proved in evidence by the lender. The burden is on him.”
Appeal from the judgment of the Court of Appeal ( Vaughan Williams, Romer, and Cozens-Hardy), who had affirmed a decision of Kekewich, J.
The facts are fully set out in the judgment of the Lord Chancellor infra.
Counsel for Appellants— Upjohn, K.C.— Hohler. Agent— B. Barnett, Solicitor.
Counsel for Respondents— P. Ogden Lawrance, K.C.— M. Macnaghten. Agents— Fowler & Company, Solicitors.