112 Mo. App. 676 | Mo. Ct. App. | 1905
This action was brought against an indorser of a promissory note in the following words:
“$500. Saint Joseph, Mo., April 9,1901.
“Three years from date we promise’to pay to the order of Emma Israel five hundred 00-100 dollars for value received, negotiable and payable without defalcation or discount and with interest from date at the rate of eight per cent per annum; and if interest be not paid semiannually to become as principal and bear the same rate of interest.” The judgment in the trial court was‘for the plaintiff.
I hope not to be understood as indulging in an improper spirit of criticism, as I, in common with the bar of the State, entertain the very highest respect and consideration for the distinguished jurist who wrote that opinion.
But notwithstanding the reference to that case by counsel in briefs and extended notice of it in oral argugument, we are of the opinion that the note there considered is wholly unlike the note in controversy. The note here is for a certain sum with compound interest. There is nothing indefinite, contingent or uncertain in its terms. It provides that if interest was not paid when due, • such interest should, thence on, itself draw interest. There can be no valid objection to such provisions in the law merchant. We therefore hold that the note is negotiable; and the proper steps not having been taken to charge defendant as indorser, the judgment should be reversed.