PROMISSORY NOTE CASE.

New Zealand Herald, Volume LVIII, Issue 17964, 14 December 1921, Page 7

PROMISSORY NOTE CASE.

MATTER OF CONSIDERATION. CONTENTION OF ILLEGALITY. A' claim to recover £60 on a, promissory note given on September 24, 1920, was brought at the Magistrate's Court yesterday before Mr. J. E. Wilson, S.M., by John McGregor (Mr, Hogben), baker, De\onport, against E. A. Walton (Mr. Sullivan), telegraph engineer. It was admitted, that the promissory note had been given, the defent* being that the consideration was an illegal one—an agreement to forbear to take criminal proceedings. Evidence was given by defendant to the effect that a boy employed by plaintiff jjot into difficulties over money. DeLendant was asked to assist him ont of the trouble. Plaintiff said that so far as he then knew the a\>rtago was about iD2{)O. He threatened to prosecute if the (Mortage was not made good. The sum of ;Sl4O was supplied by other persons interred, and plaintiff said he would accept a promissory note from defendant for the balance, £60. Subsequently plaintiff informed him the shortage was £700. Mr. Hogben said an agreement to pay Money was illegal if the consideration was forbearance to take criminal proceedings against the person making the agreement or on whose behalf it was made. Defendant's case rostcd on this. Defendant said the money was paid under a threat to prosecute. But defendant said there was no jpromise at any time not to prosecute. Counsel submitted that the "consideration was not illegal. After hearing legal argument, the magistrate reserved his deoision.