[30ASR2d126]

RICHARD JOHNSON, Plaintiff

v.

ROBERT B. COULTER dba SOUTH PACIFIC ENGINE & REPAIR, SOUTH PACIFIC ENGINE & REPAIR INC., a corporation and SAMOA NAPA INC., a corporation, Defendants

High Court of American Samoa

Trial Division

CA No. 22-91

August 5, 1996

[1]  Title ownership of shares of stock is prima facie evidence of true ownership.

[2]  Where no written agreement accompanies a loan, a 6% interest rate is inferred.

[3]  An offer of settlement is not a tender of payment that would stop prejudgment interest from accruing.

Before KRUSE, Chief Justice, TAUANU`U Chief Associate Judge, and BETHAM, Associate Judge.

Counsel:    For Plaintiff, Marshall Ashley

                             For Defendants, Roy J.D. Hall, Jr. and Brian M. Thompson

Opinion and Order on Damages:

INTRODUCTION

Plaintiff Richard Johnson seeks compensation for monies advanced by him to defendants Robert B. Coulter, South Pacific Engine and Repair, Inc., and Samoa Napa, Inc., for services provided by him as an accountant, and for office equipment given to them.  Initially, Johnson claimed that the monies advanced and services performed were for the formation of a partnership between himself and Coulter in the two defendant companies.  In the first part of this bifurcated trial, we rejected Johnson's partnership theory.  See Johnson v. Coulter, et al., 28 A.S.R.2d 218 (Trial Div. 1995).  Johnson now seeks to have his advances to the defendants repaid and his services compensated.  [30ASR2d126]

DISCUSSION

I.       Loans

Since we have already rejected Johnson's partnership theory, his only remaining tack is to attempt to recover the monies advanced to the defendants as loans.  The defendants do not deny that these loans were made.  Johnson lent the defendants $5,000 in April 1