Burnee Corp. v. Uneeda Pure Orange Drink Co.

132 Misc. 435, 230 N.Y.S. 239, 1928 N.Y. Misc. LEXIS 963
CourtAppellate Terms of the Supreme Court of New York
DecidedJune 22, 1928
StatusPublished
Cited by31 cases

This text of 132 Misc. 435 (Burnee Corp. v. Uneeda Pure Orange Drink Co.) is published on Counsel Stack Legal Research, covering Appellate Terms of the Supreme Court of New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Burnee Corp. v. Uneeda Pure Orange Drink Co., 132 Misc. 435, 230 N.Y.S. 239, 1928 N.Y. Misc. LEXIS 963 (N.Y. Ct. App. 1928).

Opinion

Levy, J.

The tenants in this summary proceeding appeared specially to move to dismiss the petition on the ground that the Municipal Court did not have jurisdiction. The point of their contention is the utter lack of the conventional relation of landlord and tenant; and even if that should be deemed to exist, there are no facts to indicate that the tenants were actually holding over. The basis upon which the landlord endeavored to sustain its position involves the consideration of a somewhat complex chain of title. On March 21, 1919, the 719 Seventh Avenue Corporation executed a lease of the entire premises 719 Seventh avenue to one Kern for a period from April 1, 1919, to June 15, 1944. The latter assigned his interest to Amron, who in turn transferred it to the Amron Realty Corporation, which is the original lessor of the tenants in this proceeding, under a lease covering the corner store in the building, for a period of ten years from May 1, 1922. The store lease contains the following cancellation clause, the interpretation of which is one of the issues:

“ Twenty-seventh. The tenants hereby agree to and with the landlord that in case the landlord elects to erect a new building on the premises of which the demised premises are a part, then and in that event the landlord shall have the right to cancel this lease on May 1, 1927, by giving the tenants sixty (60) days’ prior notice in writing to be sent by registered mail to the offices of the tenants or to the demised premises, of his intention to cancel this lease for the reason that he intends to erect a new building, and the tenants agree that upon receiving such notice from the landlord of the cancellation of this lease for the reason above mentioned, that they will surrender the said lease and premises to the landlord without any further notice.” 1

On February 10, 1927, the Amron Corporation sublet the entire [437]*437building, of which the comer store is but a part, to the Loventhal Realty Corporation, for substantially the balance of its term, the sublease expiring on the 14th day of June, 1944, one day before the termination of the principal lease. It was made subject to the overlease dated March 21, 1919, and * * * to existing subleases and tenancies, to the state of facts shown on survey made by Earl B. Lovell, dated May 19, 1910, and to building restrictions and requirements in the resolution and ordinances adopted by the Board of Estimate and Apportionment of the City of New York July 25, 1916, * * *.” On March 22, 1927, the Loventhal Corporation assigned its sublease to the petitioner. Prior to this assignment and on February 26, 1927, the Loventhal Corporation served a cancellation notice to the effect that it has elected and elects to cancel and terminate your lease and your tenancy thereunder on the 1st day of May, 1927, for the reason that the landlord has elected and elects to erect a new building on the premises of which the premises mentioned in the aforementioned lease are a part.” The tenants failing to surrender possession, the petitioner on the 6th day of May, 1927, instituted these summary proceedings in holdover, which resulted in the dismissal of the petition. This appeal is taken by leave granted below.

There is no merit in the contention that the petition does not show the existence of the relation of landlord and tenant between the Loventhal Realty Corporation and the store tenants, for the sublease to the Loventhal Corporation was of all the building, including the portions thereof, occupied by the store tenants, for a term extending beyond the term demised by the store leases. As to the store leases, therefore, the Loventhal Corporation was assignee of the lessor, and the stipulation that the Loventhal sublease was subject to existing subleases and tenancies meant simply that the possession of the Loventhal Corporation was subject to the right of possession given the store tenants under their leases from the Amron Realty Corporation, just as the right of possession of the grantee of the fee of real property, assignee by operation of law of the grantor-lessor, is subject to tenancies existing at the time of the conveyance. (Real Prop. Law, § 223; Russo v. Yusolino, 19 Misc. 28; Stewart v. Long Island R. R. Co., 102 N. Y. 601; O’Connell v. Sugar Products Co., 114 Misc. 540.) It follows that the Loventhal Corporation or its assignee, in effect the assignee of the store tenants’ lessor, was entitled to maintain this proceeding.

It is further claimed that the petition is jurisdictionally defective in that it does not appear therefrom that the term has expired within the meaning of section 1410, subdivision 1, of the Civil Practice Act, Where the term has ended, either by lapse of time or by [438]*438limitation, it has expired within the meaning of the statute. On the other hand, the happening of a contingency provided for in the lease, which grows out of a mere condition the breach or performance of which confers a right of re-entry upon the landlord, does not ipso facto end the term, the tenancy not having expired within the meaning of the act. The landlord, however, in such case may re-enter, and the method of exercising the right of re-entry is by an action of ejectment to recover possession of the demised premises, although he may, without action, take peaceable possession. (Cohen v. Carpenter, 128 App. Div. 862.) “ At common law the right to re-enter, except when entry can be made without force, is simply the right to maintain ejectment, and we find no statute which has changed the rule.” (Michaels v. Fishel, 169 N. Y. 381, 389.) The only breach of condition provided for in our statute of 1820 (chap. 194) authorizing summary dispossession — apart from the section relating to absconding tenants — was non-payment of rent, the other contingency being the expiration of the term. Accordingly, under that statute, the question was early presented whether in a given situation, in the absence of an expiration of the term by lapse of time, there was a limitation within the meaning of the act which permitted the landlord to have recourse to the summary remedy, or whether a mere breach of condition was presented giving a right of re-entry. In the latter event there could be no expiration of the term under the act and the summary remedy would not be available. (Oakley v. Schoonmaker, 15 Wend. 226; Beach v. Nixon, 9 N. Y. 35; Miller v. Levi, 44 id. 489.)

As may be expected, the cases on the subject, down to our own time, abound in subtle distinctions between conditions and limitations. Ordinarily in the construction of a contract the court endeavors to get at the intention of the parties to the instrument so as to effectuate their purpose; but in the interpretation of a lease in this connection, such intention is not necessarily controlling, for if the landlord and the tenant should agree that upon the happening of a certain event the term shall end and the landlord shall be entitled to resort to the summary remedy, nevertheless, should the contingency provided for present a condition and not a limitation, the intention is nugatory. {Beach v. Nixon, supra; Janes v. Paddell, 67 Mise. 420.) At the same time the courts, to prevent an immediate forfeiture of the tenancy, seem ever on the alert to grasp at the words condition,” entry,” “ re-entry ” and the like, as indicative of the intention of the parties to create a condition as we have come to know it, rather than a limitation. (Penoyer v. Brown, 13 Abb. N.

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Bluebook (online)
132 Misc. 435, 230 N.Y.S. 239, 1928 N.Y. Misc. LEXIS 963, Counsel Stack Legal Research, https://law.counselstack.com/opinion/burnee-corp-v-uneeda-pure-orange-drink-co-nyappterm-1928.