Criminal Law Keyed to Johnson
State v. Polzin
Polzin (Defendant) owned Surety Finance Corporation, a loan company, and Clallam Adjustment Corporation, a bill-collection agency. Mamie Braseth gave Defendant a promissory note in the amount of $200, for which Defendant gave Braseth $7 in return. As a result of this exchange, Defendant was obligated to pay certain bills that Braseth owed to other creditors. Defendant then convinced two of the creditors to employ Clallam to collect the creditors’ accounts against Braseth in return for a collection fee to be paid by the creditors to Defendant. The creditors agreed, unaware that Defendant was already obligated to pay Braseth’s debt. Defendant then transferred money from the promissory note to Clallam. Clallam paid the amount, minus the $19 collection fee, to the two creditors, thereby paying Braseth’s debt in full. Defendant was later convicted of petit larceny for taking a collection fee from the creditors. Defendant appealed.
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