Buttnick v. Clothier

263 P.2d 266, 43 Wash. 2d 667, 1953 Wash. LEXIS 359
CourtWashington Supreme Court
DecidedNovember 16, 1953
Docket32102
StatusPublished
Cited by7 cases

This text of 263 P.2d 266 (Buttnick v. Clothier) is published on Counsel Stack Legal Research, covering Washington Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Buttnick v. Clothier, 263 P.2d 266, 43 Wash. 2d 667, 1953 Wash. LEXIS 359 (Wash. 1953).

Opinions

Donworth, J.

This action was instituted by plaintiffs as owners and lessors of certain real property to recover unpaid rentals under a written lease. . Martha Remmen, the original lessee, and Ethel Clothier, the assignee of the lease, were joined as parties defendant. Defendants filed separate answers to the complaint. Defendant Remmen set forth certain affirmative defenses, cross-complained for relief ¿gainst plaintiffs, and prayed, in the event that judgment be entered against her, for judgment over against defendant Clothier for such sum as she might be required to pay. Defendant Clothier, by way of affirmative defense and cross-complaint, pleaded two counterclaims, one for damages for deceit practiced by plaintiffs and the other for damages based upon breach of the lease on their part.

The trial was held to the court sitting without a jury. At the conclusion of the case, the court made findings of fact, conclusions of law, and entered a judgment which dismissed plaintiffs’ action, awarded defendant Clothier damages on her first affirmative defense and cross-complaint, and denied further relief to either defendant except costs of suit. Plaintiffs’ alternative motions for judgment notwithstanding the decision and for new trial were denied. Plaintiffs appeal from the judgment.

The Maynard building, consisting of five stories and a basement, was built in 1892 for use as an office building. It is located at 121-123 First avenue south in Seattle’s skid-road district. In 1927, it was classified by the building department as an office building. That classification has never been changed. Over the years since its erection, the character of the neighborhood has deteriorated so that there is little or no demand for office space there.

Appellants purchased the building in 1936 and have con[669]*669tinuously leased, the building for offices, light manufacturing, storage, assembly halls, and general commercial uses. Under the building code of the city of Seattle (ordinance No. 72200, as amended), an “office building” is defined as:

“A building that is used or occupied predominantly for offices but may contain a limited amount of shops for supplying food, drink or other bodily comfort or needs, and below the third story may be used or occupied for commercial purposes not prohibited by this Code.” (Italics ours.)

In September, 1947, Martha Eemmen’s lease on the Yesler hotel was about to terminate, and she needed a place to store all her hotel furnishings. She consulted appellant Harry Buttnick as to the possibility of leasing the Maynard building for that purpose. He informed her that the building was for rent and directed her to consult his real-estate agent. On September 26, 1947, a lease entitling her to the use and possession of the Maynard building (exclusive of the basement) subject to existing tenancies was executed. Copies of the existing month-to-month tenancy agreements were supplied to her.

The lease was for a two-year term commencing October 1, 1947, at a monthly rental of five hundred dollars, and included an option provision by which the lessee could elect to extend the term of the lease for an additional five years. Assignments or subleases of any portion of the premises without written consent of the lessors were prohibited. Under the heading “Business Purpose,” it was provided that the premises were to be used for the purpose of conducting therein any lawful business or subletting any portion thereof for any lawful purpose.

Martha Remmen took possession of the premises and stored her hotel furniture on the second, third, and fourth floors. She sublet various other portions of the building for purposes identical to those previously existing. One of her tenants was Ethel Clothier, who leased part of the first floor on a month-to-month tenancy, where she conducted a dairy supply business of which she was sole proprietor.

In January, 1948, Martha Remmen indicated to Ethel Clothier that she was interested in disposing of her interest [670]*670in the leasehold and was in touch with some interested parties. Ethel Clothier was afraid that if some one else took over the lease she might be required to pay a higher rental than the $125 per month which she was paying, or move her business from the building. Primarily to forestall these possibilities, she agreed with Mrs. Remmen to purchase her interest in the lease. An assignment (subject to all existing tenancies) was executed on February 18, 1948. Ethel Clothier, as assignee, agreed to make all payments required under the lease and to perform all covenants, conditions, terms, stipulations, and agreements contained therein. In consideration of appellants’ consent to the assignment, Mrs. Remmen guaranteed performance by the assignee of the terms of the lease.

Appellants also, as a condition precedent to their consenting to this assignment of the leasehold interest, required that Ethel Clothier elect to exercise the option to extend the term of the lease for the period of five years from October 1, 1949. The extension agreement extending the term of the lease to September 30, 1954, was executed on February 28, 1948, and was signed by appellants and by both Martha Remmen and Ethel Clothier.

Up to the time of the execution of the extension agreement, neither Martha Remmen nor Ethel Clothier knew that the Maynard building had been classified as an office building in 1927. Appellants were aware of the classification and had previously been notified by city officials that certain structural alterations and changes would be required if the building was used for other than office purposes. Ethel Clothier was first notified of this condition on April 29, 1948, when appellants forwarded to her a copy of a letter sent to their agent by the chief of the fire department. It was dated March 24, 1948, and required fourteen specific alterations if the building was to be used for other than office purposes above the second floor. The cost of doing all that the city considered necessary to comply with the building code was very substantial, and Ethel Clothier informed appellants that she considered it their duty under the terms of the lease to make these alterations. Appellants [671]*671and Ethel Clothier thereupon commenced negotiations with a view of adjusting their differences.

In April, 1949, the building was damaged by an earthquake. Appellants caused repairs to be made to the building, but Ethel Clothier was dissatisfied with the amount of work done.

Ethel Clothier paid the monthly rental of five hundred dollars in accordance with the lease until November 1, 1949, when she failed to make the rental payment which then became due. This default was subsequent to the expiration of the original two-year term. On December 8, 1949, she notified appellants by letter that, by reason of their misrepresentations concerning the purpose for which the premises could be used, their failure to comply with the requirements of the city building department and the city fire department, and their failure to adequately repair the earthquake damage, they had breached the lease, and she would pay only such rental as was reasonable for the tenantable portion of the building. Pending further negotiations, the parties temporarily agreed on a rental of $385 a month, with the understanding that the payment and acceptance of this rental would be without prejudice to the rights of either party.

In July, 1950, a gas main in the street exploded and damaged the building.

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Buttnick v. Clothier
263 P.2d 266 (Washington Supreme Court, 1953)

Cite This Page — Counsel Stack

Bluebook (online)
263 P.2d 266, 43 Wash. 2d 667, 1953 Wash. LEXIS 359, Counsel Stack Legal Research, https://law.counselstack.com/opinion/buttnick-v-clothier-wash-1953.