Borough of Nesquehoning v. Carbon-Lehigh Intermediate Unit No. 21

41 Pa. D. & C.3d 506, 1984 Pa. Dist. & Cnty. Dec. LEXIS 36
CourtPennsylvania Court of Common Pleas, Carbon County
DecidedMarch 22, 1984
Docketno. 81 E 22
StatusPublished

This text of 41 Pa. D. & C.3d 506 (Borough of Nesquehoning v. Carbon-Lehigh Intermediate Unit No. 21) is published on Counsel Stack Legal Research, covering Pennsylvania Court of Common Pleas, Carbon County primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Borough of Nesquehoning v. Carbon-Lehigh Intermediate Unit No. 21, 41 Pa. D. & C.3d 506, 1984 Pa. Dist. & Cnty. Dec. LEXIS 36 (Pa. Super. Ct. 1984).

Opinion

LAVELLE, Chancellor,

In this unusual case, a municipality-lessor is asking this court to invoke its equity powers to compel another municipality-lessee to make substantial repairs to an unmaintained and deteriorating leased premises: What makes the case so unusual is that neither counsel has presented to the court a single Pennsylvania trial court or appellate court decision where a landlord successfully sought or obtained from the tenant the equitable relief sought in this case. Even more unusual is that plaintiff borough is asking the court to order and supervise specific repairs to an old school building on the basis of a very vague provision in a one-dollar-a-year, 25-year-term lease agreement.

A bench trial was held on August 25, 1983, At the conclusion thereof, the parties were directed to file findings of fact and conclusions of law within 30 days of the lodging of the transcript. The court also strongly urged the parties to negotiate their differences. We later extended the filing period upon being apprised by counsel that serious efforts to settle were being made. These negotiations ultimately failed to resolve the controversy, and argument on the findings of fact and conclusions of law was heard on January 4, 1984.

The facts of the case may be simply stated. On January 11, 1966, the Carbon County School Board entered into a lease agreement with the Nesquehoning School District to use the Nesquehoning High School building on East .Catawissa Street in the Borough of Nesquehoning. The Nesquehoning School District had no further [508]*508need for this building after the Panther Valley Jointure in 1964. The lease was for one dollar a year and had a 25-year term with no provisions for termination on either side prior to the end of the term.

Paragraph VI provides as follows:

“The lessee shall and will, during the continuance of the said term, pay for all costs of operation and maintenance, including custodial service. Cost of repairs, renovations or improvements made to the building and grounds, if ordered and directed by the lessee, shall be financed and paid for by the lessee. The lessee shall and will, during the continuance of the said term, keep and at the expiration thereof, peaceably deliver up the said demised premises in the like good order and condition as they now are, ordinary wear and tear and casualties by fire and unavoidable accident only excepted. Any improvements or renovations made during the term of this lease shall become the property of the lessor.” (Emphasis supplied.)

About six months after the lease was executed, the Nesquehoning School District transferred the building to plaintiff Borough of Nesquehoning for one dollar.

In 1971, the Carbon-Lehigh Intermediate Unit No. 21 was formed and succeeded the Carbon County School Board by action of the Pennsylvania legislature. In July of 1980, the Intermediate Unit informed plaintiff borough that effective August 30, 1980, it would be vacating the premises.

It is undisputed that defendant vacated the high school building in August of 1980; that defendant has performed no maintenance on the building since June of 1980; and that the building needs both interior and exterior repairs.

Plaintiff contends that paragraph VI of the lease requires the Intermediate Unit to put the building [509]*509back in the same condition it was in 1966 when the lease began and continue to maintain the budding until 1991, when the lease ends.

Defendant argues that it agreed to lease the budding to teach mentady retarded chddren and received federal funds to do so; that federal law required the unit to “mainstream” these chddren or put them in normal schools; that its federal funding for this purpose was cut off and it became impossible for it to stay in the budding. It contends that it should be excused from further maintenance of the budding or, in the alternative, that plaintiff should seek redress against the unit on the law side of the court.

DISCUSSION

At the very threshold of this controversy between governmental units, we are confronted by the jurisdictional question: Is this the kind of a case in which an equity court should become involved?

When we scrutinize the pleadings and evidence presented by plaintiff, it has the appearance of an action for breach of contract and, upon proper proof, one which could result in a plaintiff’s verdict for money damages. The pleadings and evidence of defendant has the semblance of a legal defense to an action for money damages. On the face of the record, we perceive none of the basic indicia of an equity action. Then on analysis of the record, we see no reason why plaintiff cannot seek a complete.and adequate remedy at law in the form of an action in assumpsit for damages for this alleged breach of contract.

The only way in which plaintiff would be injured by süch a breach would be a loss of monies in making repairs to the building, which plaintiff claims should have been made by defendant. We do not see [510]*510why damages cannot be ascertained here with a reasonable degree of certainty by a jury or by a court without a jury. Plaintiff can make the repairs which plaintiff believes should be made to restore the building and then seek recovery of the monies expended as damages.

We have found only one Pennsylvania appellate court decision where a court of equity intervened and ordered a tenant to restore a leased building to its original condition.

In Edison I. Co. v. Eastern Pa. Power Co., 253 Pa. 457, 98 Atl. 652 (1916), Edison Illuminating Co. leased its plant and franchise to furnish electricity to the City of Easton to Eastern Pa. Power Co. for 99 years at $30,000 a year. The lease provided that Eastern was to maintain the general efficiency of the plant during the term of the lease and at the termination or expiration of the lease return it to Edison in its original condition, reasonable wear and tear excepted. For various reasons, Eastern ceased using the plant to generate electricity, began using it only as a substation to convert electricity, and did not maintain the building. Edison filed a suit in equity to compel Eastern to maintain the general efficiency of the plant. Eastern preliminarily objected to the court’s equitable jurisdiction but the trial court overruled the objection and entered a decree ordering Eastern to restore the efficiency of the plant. On appeal, the Supreme Court of Pennsylvania affirmed, holding that when the contract or lease is one in which the public interest or convenience is at stake, equity has the power to intervene or order specific performance even though certain oversight and discretion is required.

Although Edison, supra, appears to support equity jurisdiction in the instant case, a careful analysis [511]*511of the facts reveals such support is superficial.. Edison involved the lease of a power plant and franchise to supply electric power to thousands of citizens in the City of Easton and the failure of the tenant to maintain the efficiency of the plant constituted a threat to the health and safety of their citizens. The old school building which serves as the centerpiece of this lawsuit is empty and serves no public purpose whatsoever. The building is providing no essential public service. There is ho compelling public need to restore this school building to its original condition as there was in the Edison case.

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98 A. 652 (Supreme Court of Pennsylvania, 1916)

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Bluebook (online)
41 Pa. D. & C.3d 506, 1984 Pa. Dist. & Cnty. Dec. LEXIS 36, Counsel Stack Legal Research, https://law.counselstack.com/opinion/borough-of-nesquehoning-v-carbon-lehigh-intermediate-unit-no-21-pactcomplcarbon-1984.