JOHNSTON v. CITIZENS BANK & TRUST CO., ETC.

No. 80-1795.

659 F.2d 865 (1981)

Phillip W. JOHNSTON, Katherine Ann Johnston and Rudolph W. Johnston, Appellants, v. CITIZENS BANK & TRUST COMPANY OF FLIPPIN, ARKANSAS; A. Vernon Weaver, Administrator of the United States Small Business Administration, Appellees.

United States Court of Appeals, Eighth Circuit.

Decided September 23, 1981.


Attorney(s) appearing for the Case

Patten, Brown & Leslie by Charles Darwin Davidson, P. A. (argued), Robert B. Leslie, Little Rock, Ark., for appellants.

A. Doug Chavis, Asst. U. S. Atty., Little Rock, Ark., for Small Business Admin.

Griffin Smith and W. R. Nixon, Jr. (argued), Little Rock, Ark., for Citizens Bank & Trust Co. of Flippin, appellee.

Before LAY, Chief Judge, McMILLIAN, Circuit Judge, and LARSON, Senior District Judge.


LARSON, Senior District Judge.

This appeal primarily presents the issue of whether a loan guaranty fee charged by a lender and later returned to the borrower constituted "interest" and was thus usurious under Arkansas law. Appellants also raise issues of possible bias on the part of the trial court and of error in failing to grant appellants' motions for voluntary dismissal or dismissal for lack of subject matter jurisdiction.

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