Christ Diehl Brewing Co. v. Konst

20 Ohio C.C. Dec. 782, 12 Ohio C.C. (n.s.) 577
CourtPutnam Circuit Court
DecidedJuly 1, 1905
StatusPublished

This text of 20 Ohio C.C. Dec. 782 (Christ Diehl Brewing Co. v. Konst) is published on Counsel Stack Legal Research, covering Putnam Circuit Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Christ Diehl Brewing Co. v. Konst, 20 Ohio C.C. Dec. 782, 12 Ohio C.C. (n.s.) 577 (Ohio Super. Ct. 1905).

Opinion

HURIN, J.

This action involves the validity of a contract between a brewing-company and a saloon keeper, whereby the latter has agreed for a term of years to sell no other beer on certain premises than that furnished by the former. The case was heard by us on appeal; the essential facts being agreed upon.

A somewhat lengthy statement of the facts will be necessary in order to make the issues plain:

Plaintiff, the brewing company, is the owner of a brick building,, the first story of which has been occupied for some years by defendant, as a saloon. Formerly he occupied this saloon under a lease from month-to month, but on October 10, 1904, he entered into a written agreement of lease for a period of five years, agreeing to pay for the premises-, leased the sum of $360 per year in monthly installments.

By the terms of this lease the defendant was to have the use of all. saloon furniture and fixtures then in said building, free of cost.

The lease contains the following covenant, which is the bone of contention in the case at bar:

“Said second party further covenants and agrees as a part of the consideration for said leased premises and use of said furniture and fixtures, to deal exclusively in the beer manufactured by said party of the first part and not to in any manner sell or expose for sale in said premises any beer not manufactured by said first party during the full period of this lease, and that any alterations or changes made in said building shall be made at the sole expense of said party of the second part and no such alteration or change shall be made until after first obtaining the written consent of said first party therefor, in writing.”

Defendant continued to occupy said property as a saloon under this lease for about two years until May 1906, when he also rented of one Laura E. Andrews, a business room adjoining that formerly used by him; but continued to occupy both rooms, using the Andrews’ room as a billiard and lunch room and plaintiff’s room as a saloon. For the first three months plaintiff paid a part of the rent of the Andrews’ room and by agreement between plaintiff and defendant a doorway was cut in the wall between the two rooms, which door was used by defendant in the operation of the two branches of his business.

[784]*784Soon afterwards defendant, by consent of plaintiff, moved tbe saloon fixtures info tbe Andrews’ room and the billiard tables and lunch ■counter into plaintiff’s room, tbe latter being a larger room and more ■convenient for this purpose.

Plaintiff assented to this agreement and at defendant’s request, plaintiff later on put larger saloon fixtures in tbe Andrews’ room in place of those removed thither from the plaintiff’s room.

Afterwards defendant, with plaintiff’s consent, sold the billiard and lunch part of his business to one Diehl Richards, who operated it for a short time, but subsequently resold it to defendant, who from that time to the commencement of this suit continued to operate the business of both rooms as at first.

Both- at the time of the cutting of the connecting door and of the ■sale of the billiard and lunch room business to Richards, plaintiff’s consent was given to these arrangements with the mutual understanding that the terms of defendant’s lease should be in no way affected thereby.

Plaintiff at all. times furnished to defendant all beer ordered by him and at the same price as that first agreed upon.

Immediately prior to the commencement of this suit defendant notified plaintiff that he intended to purchase other beer than plaintiff’s, ■and defendant about the same time tore down the saloon furniture and fixtures installed by plaintiff and secured other furniture in their place which he is now using.

Plaintiff by this action seeks to enjoin the sale by defendant in ■either of said rooms of any beer other than that manufactured by plaintiff.

Defendant by its answer admits the lease of plaintiff’s room and the terms of the lease as to rental and fixtures, but pleads that the covenant to deal exclusively in beer manufactured by plaintiff and not to :sell other beer in said premises is void as in violation of the antitrust laws of Ohio, and as in restraint of trade and against public policy.

We have not been favored with any brief by counsel for defendant, but in oral argument it is claimed that the sale of beer other than that manufactured by plaintiff is not a violation of the lease, if such beer is sold in the AndrewsJ room and not in plaintiff’s room, and that the lease has therefore been strictly complied with.

Second. That the covenant not to sell other beer than plaintiff’s is contrary to law and public policy and therefore void; and

Third. That injunction is not the proper remedy of plaintiff, who must sue, if at all, in an action at law for damages for breach of contract.

[785]*785Defendant’s whole reliance as to the law of the case seems to be on two cases decided by the circuit courts of Lucas and Cuyahoga counties: The cases of Huebner-Toledo Breweries Co. v. Singlar, 28 O. C. C. 329, and Cleveland & S. Brew. Co. v. Demko, 29 O. C. C. 102.

We have not been able to find a perfect report of the latter case, as the report published in the Law Reporter seems to be strangely mixed with another case, and we are unable to determine what was intended to be said by the court in its opinion.

The facts disclosed in the former case are so different from those in the case at bar that that decision is only valuable in our discussion, for the evident ability with which the authorities are therein reviewed.

As to the first defense suggested, we have no hesitancy in saying that it rests upon the thinnest of technicalities, unworthy of consideration by a court of equity.

As long as the saloon fixtures remained in plaintiff’s room, even after the two rooms were connected and’ became practically one, no question was raised. Defendant had recognized plaintiff’s rights under the lease by asking and obtaining its consent to cutting the door connecting the two rooms, and this with the express agreement that the terms of the lease should not be thereby affected. Again -defendant recognized plaintiff’s rights under the lease when he asked and obtained from plaintiff its consent to make the exchange in the use of the two rooms, removing the saloon business to the Andrews’ room. And again, when the billiard and lunch business was sold temporarily to Richards by defendant, he did so under an express agreement that the terms of the lease should be in no way affected thereby. Again, it was at defendant’s request that larger and better saloon fixtures were by plaintiff installed in the Andrews ’ room.

By all of these actions defendant impliedly, and by some of them ■expressly and for valuable considerations, agreed that plaintiff’s lease should be considered as extended over the enlarged quarters.

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Cite This Page — Counsel Stack

Bluebook (online)
20 Ohio C.C. Dec. 782, 12 Ohio C.C. (n.s.) 577, Counsel Stack Legal Research, https://law.counselstack.com/opinion/christ-diehl-brewing-co-v-konst-ohcirctputnam-1905.