Clark v. Service Auto Co.

108 So. 704, 143 Miss. 602, 49 A.L.R. 511, 1926 Miss. LEXIS 299
CourtMississippi Supreme Court
DecidedMay 24, 1926
DocketNo. 25425.
StatusPublished
Cited by18 cases

This text of 108 So. 704 (Clark v. Service Auto Co.) is published on Counsel Stack Legal Research, covering Mississippi Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Clark v. Service Auto Co., 108 So. 704, 143 Miss. 602, 49 A.L.R. 511, 1926 Miss. LEXIS 299 (Mich. 1926).

Opinion

Anderson, J.,

delivered the opinion of the court.

Appellee, Service Auto Company, a corporation under the laws of this state, brought this action in trespass in the circuit court of Clay county against appellants, L. G. Clark and IT. E. Cox, to recover damages claimed by appellee, a tenant of appellant Clark, on account of the alleged unlawful ousting of appellee by appellants from the leased premises and the conversion to their own use of certain personal property situated on such premises. There was a trial resulting in a verdict and judgment in favor of appellee from which appellants prosecute this appeal.

Appellant Clark owned a lot in West Point on which was situated a building". In August, 1924, (appellant Clark leased this lot and building -to appellee for one year beginning September 1,1924, and ending September 1, 1925. The lease contract was in writing as follows, leaving off the formal parts and signatures:

“This contract made by and between L. G. Clark of West Point, Miss., party of the first part, and the Service Auto Company of West Point, Miss., party of the second part, witnesseth:
“First. That the party of the first part has rented to the party of the second part the same buildings .that the party of the second part now occupy from September *613 1, 1924, to September 1, 1925. Said party of the second part has executed to the party of the first part, twelve promissory notes of forty-five dollars each, one payable 1st day of each month, beginning'; September 1, 1924, and one each month thereafter, until all are paid.
“Second. The failure on the part of the party of the second part to pay either or any of these notes as they fall due malíes them all become due and payable and gives the party of the first part the right to dispossess the party of the second part and take possession of said buildings, without further notice.”

It will be observed from the contract that appellee agreed to pay a rental of forty-five dollars per month in advance on the 1st of each month for the period of the term. The monthly rent installments were evidenced by twelve promissory notes payable to the order of the appellant Clark at the Bank of West Point, where they were all placed for collection. Hi. C. Terrell was president of appellee company, and W. P. McCrary was secretary and manager, and, so far as the record shows, they were the only stockholders of the company.-

Appellee operated on the leased premises what is known as an automobile garage, where it sold oil and g;asoline and automobile parts and carried on an automobile service department in connection therewith. Appellee knew that the rent notes had been placed in the Bank of West Point for collection. The three notes due the 1st of September, the 1st of October, and the 1st of November, 1924, were not paid, although the bank had requested payment of appellee of each of them. These three notes all remained unpaid on the 13th of November, 1924. On that date appellant Clark went into the building on the leased premises, and, without breaking or threats and without physical force or personal violence of any kind, and in the presence of appellee’s employees in charge as well as of McCrary, its secretary and manager, declared the lease forfeited for nonpayment, of the past-due rent installments, and thereupon *614 took charge of the premises and. put appellant Cox, his new tenant, in possession.

Appellee’s evidence tended to show that it did not consent to be ousted from the leased premises, but on the contrary protested and offered, if given an opportunity, to pay the overdue rent. The evidence showed without conflict, however, that appellee yielded possession to appellant Clark and his new tenant, appellant Cox, without the exercise on their part of either physical violence or the’threat thereof. After so taking possession of the leased premises, appellants retained and used for a while the showcases therein and other personal property belonging to appellee. Later appellants notified appellee to remove from the leased premises all of its property therein except what had been levied on by distress for the rent against appellee on behalf of appellant Clark, which was in the custody of the officer making the levy. As a result of the re-entry and taking possession of the premises in the manner stated, appellee recovered damages of appellants in the sum of three thousand dollars. The elements of damages which appellee’s evidence tended to-establish were the alleged unlawful trespass in re-entering the leased premises, the conversion by appellants of certain personal property therein belonging to appellee, and the loss of profits on appellee’s business, which business was destroyed by the retaking of the premises.

The principal question presented and argued is whether appellants were guilty of a trespass in taking possession of the leased premises in the manner stated. The appellants ’ position is that they were justified by the last paragraph of the lease contract in so taking possession of the leased premises. Besides the general issue, appellants interposed a special plea to appellee’s declaration, .in which they set' up the right of appellant Clark to reenter the leased premises under the forfeiture clause of the lease contract because of the nonpayment of the rent installments, and the plea averred further that the re *615 entry was made “peaceably, without force or objection.” Appellee’s demurrer to this special plea was sustained.

Appellants requested a directed verdict in their favor, which was refused by the court. Appellee requested and was granted a directed verdict in its favor on the question of liability. The granting and refusal of these instructions is the main ground of error argued and relied on by the appellants. The question alone was submitted to the jury of the amount of damages suffered by appellee. The turning point in the question of liability for the alleged trespass depends on the meaning of the last paragraph of the lease contract, which provides, in substance, that a failure to pay any of the rent notes as they fell due shall give the landlord the right to dispossess the tenant and take possession of the leased premises without further notice.

At common law, nonpayment of rent does not operate in the absence of a provision therefor in the lease as a forfeiture of the term or confer upon the lessor the right of re-entry. But, where there is a provision in the lease for forfeiture and re-entry for nonpayment of rent, such a provision is valid and enforceable. There seems to be no division of authority on this proposition. 16 R. C. L., p. 1126, section 647, and cases collated in the notes. Under such a stipulation in the lease contract, can the landlord re-enter without a legal proceeding? There are three lines of authority treating this subject.

The weight of authority is to the effect that, where the lessor is entitled to the possession of the leased premises by reason of a clause in the lease contract giving him the right of entry for a breach thereof, he is entitled to make re-entry by force, using no more force for that purpose than is reasonably necessary, and that he may do so without incurring any civil liability to the lessee.

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Bluebook (online)
108 So. 704, 143 Miss. 602, 49 A.L.R. 511, 1926 Miss. LEXIS 299, Counsel Stack Legal Research, https://law.counselstack.com/opinion/clark-v-service-auto-co-miss-1926.