C. Callahan Co. v. Lafayette Consumers Co.

2 N.E.2d 994, 102 Ind. App. 319, 1936 Ind. App. LEXIS 104
CourtIndiana Court of Appeals
DecidedJuly 1, 1936
DocketNo. 15,149.
StatusPublished
Cited by9 cases

This text of 2 N.E.2d 994 (C. Callahan Co. v. Lafayette Consumers Co.) is published on Counsel Stack Legal Research, covering Indiana Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
C. Callahan Co. v. Lafayette Consumers Co., 2 N.E.2d 994, 102 Ind. App. 319, 1936 Ind. App. LEXIS 104 (Ind. Ct. App. 1936).

Opinion

Wood, P. J. —

Appellee, as lessee, brought suit against the appellant for possession of certain real estate in the city of Lafayette, and for damages for the alleged wrongful and forcible eviction of appellee therefrom, and the wrongful and forcible detention of the possession thereof by appellant. From a judgment in favor of appellee, this appeal is prosecuted.

The issues consisted of what the parties have designated as an amended and supplemental complaint in three paragraphs, the first was in the usual form for possession of real estate and for damages for the unlawful and forcible entry therein and detention thereof; the second and third paragraphs were quite similar in their allegations, each setting out in detail, the various transactions through which the appellee traced the source of its alleged interest in and right to possession of said real estate. The appellant filed an answer in general denial to each paragraph of this complaint. It also filed a separate verified second paragraph of answer to the second and third paragraphs of complaint in which it denied the execution of certain written documents set out as exhibits to each of said paragraphs of complaint on which the appellee based his alleged interest in and right to possession of said real estate. It also filed a separate third paragraph of answer to the second and third paragraphs of complaint in which it alleged that it was the purchaser for value in good faith and without notice or knowledge of any claim, right or interest of appellee in and to said real estate. Appellant *322 also filed a counterclaim against appellee in which it alleged that it was the owner in fee simple of the real estate in question, and sought to have its title quieted therein as against the appellee. Appellee filed a separate paragraph of reply in general denial to appellant’s third paragraph of answer to appellee’s second and third paragraphs of complaint, and a reply in general denial to appellant’s counterclaim.

On these issues the cause was tried to the court without the intervention of a jury. The court made a general finding for the appellee, and rendered judgment in its favor. The appellant filed a motion for a new trial within the statutory period of time, which motion was overruled. The only error properly assigned requiring our consideration, is the overruling of the motion for a new trial, in which appellant alleged sixty-six separate causes therefor, which will be disposed of in the order in which they are presented and discussed in that portion of appellant’s brief devoted to “Propositions, Points and Authorities.”

It is appellant’s first contention that the decision of the court is not sustained by sufficient evidence and is contrary to law. Under this contention appellant asserts that it was a bona fide purchaser for value of the fee simple title to the real estate by a warranty deed from the holder of the record title without notice of appellee’s alleged interest therein; that the appellee claimed to be an assignee of a lease-hold interest in said real estate through unrecorded instruments; that the appellee assumed many conflicting positions after appellant acquired the fee simple title to the real estate in May, 1925, and that appellee failed to prove that the assignment of the lease under which it claimed its right of possession to the real estate had ever been properly executed.

While there are many questions presented by the *323 record for our consideration, the ultimate determination of the rights of the parties to this controversy is dependent upon the answer to be made to the query, whether or not under the facts and the law applicable thereto, the trial court was warranted in finding and adjudging that the appellant had actual knowledge of appellee’s alleged interest in and right to possession of the real estate, as well as whether it had constructive notice thereof, sufficient to put it on inquiry previous to the purchase and payment of the consideration for the real estate in May, 1925.

The evidence is voluminous and covers a broad field of inquiry; to attempt a complete summary thereof would unduly prolong this opinion and serve no good purpose. An examination of the record discloses that some of the facts are not controverted. We set them out as briefly as their substance will permit.

In May, 1906, one William A. Wildhack became the owner, subject to certain existing leases, of the real estate concerning which this litigation is being waged. September 6, 1906, Wildhack as lessor entered into a written contract with Born and Company, a Lafayette corporation, as lessee, under the terms of which the lessor leased the real estate to the lessee for a period of twenty-five years from that date, or to September 6, 1931. The conditions contained therein necessary to be considered here were: that the lessee should pay to the lessor as rent for the use of said real estate the sum of $60 per annum, payable in advance on the 6th day of September of each year during the term of the lease, also all taxes, assessments, license fees or other charges made against said premises or any improvements placed thereon, including any special assessments for paving or sewage, levied and payable during the term of the lease. The lessee was also required within one year from the date of the lease to erect substantial buildings and *324 other improvements on the leased premises to cost not less than $15,000 to be built and maintained subject to the satisfaction of the lessor. The lease was not to be assigned, nor said premises or any part thereof subleased or occupied by any party other than the lessee without the written consent of the lessor or his assignees. It was expressly stated and understood that the lessee was fully informed that the Lake Erie and Western Railroad Company had an interest in the leased premises held by Wildhack in trust for the railroad company and that the lease should be binding against the lessee in favor of the railroad company to the same extent as though it had been a party to the execution of the same, and that said lease should be binding against the railroad company in favor of the lessee in the same manner as if it had been a party thereto. Upon the failure of the lessee to perform the conditions of the lease it could be terminated by the lessor, in which event all permanent improvements placed upon the premises should become the property of the lessor, and likewise at the termination of the lease by expiration of time said improvements were to become the property of the lessor. The lessee had the right to extend the lease for an additional period of twenty-five years from the date of its expiration, if the election was made in writing and served on the lessor not less than thirty days prior to the date of expiration. The lease was binding upon the successors or assigns of the original parties thereto. It was acknowledged by the respective parties and properly recorded October 12, 1906.

September 6, 1906, the Lake Erie and Western Railroad Company, as the first party, and Born and Company as the second party, entered into a written contract for the erection, maintenance and use of a side track and trestle upon the premises leased by Born and Company from Wildhack, this contract to continue during *325 the same period of time as the lease from Wildhack to Born and Company.

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Cite This Page — Counsel Stack

Bluebook (online)
2 N.E.2d 994, 102 Ind. App. 319, 1936 Ind. App. LEXIS 104, Counsel Stack Legal Research, https://law.counselstack.com/opinion/c-callahan-co-v-lafayette-consumers-co-indctapp-1936.