Sorry guys but you're BOTH RIGHT.

Leadbelly's use of the "E" note (in the key of G that's a sixth) for the word 'MIDnite' really DOES imply that the four chord (C) should be played. But 'implications' can sometimes be misleading. He doesn't stray from the '1' chord. Remember Leadbelly often PLAYS the melody while SINGING it.

It's the same thing that's happening in "Hesitation Blues" (when played in a major key). Take the line "I never been to heaven...." It's really just that sixth again. You CAN go to the four chord, and it sounds fine, that's just not what Huddie's doing.

Cheers

Rick