Curry v. Bacharach Quality Shops, Inc.

117 A. 435, 271 Pa. 364, 1921 Pa. LEXIS 511
CourtSupreme Court of Pennsylvania
DecidedJuly 1, 1921
DocketAppeal, No. 424
StatusPublished
Cited by45 cases

This text of 117 A. 435 (Curry v. Bacharach Quality Shops, Inc.) is published on Counsel Stack Legal Research, covering Supreme Court of Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Curry v. Bacharach Quality Shops, Inc., 117 A. 435, 271 Pa. 364, 1921 Pa. LEXIS 511 (Pa. 1921).

Opinion

Opinion by

Mr. Justice Kephart,

This is an appeal from an order of the court below discharging a rule to open a judgment entered upon a lease. August 4, 1917, appellant, by a judgment-ejectment lease, acquired from John Stafford, Sr., for a term of three years, the first floor and basement of 1114 Chestnut Street, Philadelphia. A few days later, August ,8th, it received a paper from the owner, reading: “It is mutually understood between us that in consideration of your signing a lease covering the first floor store and basement of No. 1114 Chestnut Street for a period of three years from November 1, 1917, that the option of an extension of either two or seven additional years is hereby given to you, with the provision that, in the event of the option being exercised, notice shall be given me to that effect in writing at least three months prior to the expiration of the above-mentioned three years from November 1,1917. JnO'. Stafford.” This was approved by appellant.

It is appellee’s contention that prior negotiations were merged in the written contract of lease and the option, was but an oral promise to alter or vary the terms of the written instrument, and, being contemporaneous with the original agreement and not having been omitted therefrom through fraud, accident or mistake, evidence of the oral promise cannot be received. Undoubtedly, had the latter been incorporated in the lease or delivered with the lease, there could be no question but it was a part of that instrument; an examination of the paper shows, though dated four days after, the interval of time made no difference and it was intended to be a part of the instrument under which appellant took the property. It is complete in itself, having in it all that is necessary to make it clear and explicit. Appellee urges there was no consideration for the option as the lease had been executed and grantor’s act in giving the option was a mere gift; or, if other consideration existed, it must be shown by parol, and, being an essential ele[369]*369ment of the contract, it is within the statute. The option speaks in this language: “In consideration of your signing a lease.” John Stafford was not called to testify the paper was given as an after-thought or a gift, and that there was no real consideration moving to him; effect must be given the option in the light in which the then owner regarded it. The inference is strong it came as the result of an understanding between the parties, arrived at during the negotiations for the lease, to be executed and given in the manner indicated above; the real consideration, then, was the signing-of the lease. Moreover, the testimony bears out the conclusion and presents such a meritorious case that it is difficult to understand how a contrary inference could have been reached. The option, including the consideration, is not parol evidence; it is written evidence, complete in itself, and would require other evidence to destroy its effect. “In consideration of your signing this lease” expresses an adequate consideration, and, in connection with the written lease already in existence, sufficient to move the owner to act. To conclude otherwise, evidence should be produced to show that there was no consideration moving to the owner. Without such proof, a written instrument cannot be made of no effect simply because there is a slight difference in the date of another paper of which it unquestionably is a part, and this without the testimony of the only person then affected. The mere interval of time does not destroy the concrete fact, reduced to writing, “in consideration of your signing this lease, I give you this option.” An oral promise, unenforceable because of the statute of frauds, may be made good by a subsequent writing. “The statute does not declare the contracts upon which those promises were made either illegal or void. It simply refuses to enforce them unless proved by a writing. When the defendant put his promise to pay in writing he obviated all difficulty from the statute. The original promises could not have been recovered upon, but this judgment is not on the original [370]*370promises but on the written undertaking to pay”: Anderson v. Best, 176 Pa. 498, 502. We need not consider the statute of frauds in connection with the option; it has been thoroughly treated in Title G. & S. Co. v. Lippincott, 252 Pa. 112, 116 et seq., by our present Chief Justice.

We are of opinion the option related back to and was part of the lease; it evidences Stafford knew about the transaction between his son and appellant, and, as appears from the testimony, the lease and option carried out precisely his idea and the agreement the parties made. Indeed, if necessary to the decision, the moral obligation arising from the evidence in connection with the negotiations would support the written option as sufficient consideration: Anderson v. Best, supra, 502.

When the lease was executed, the property was subject to a mortgage held by John Cadwalader, who foreclosed and purchased it at sheriff’s sale, taking an assignment of the lease. He made no effort to learn from the tenant the character of his holding but continued to receive the rent from him. Cadwalader knew there was an outstanding option. Just when he learned of it does not appear, but a year later he notified lessee he disaffirmed it. This was too late. A purchaser at sheriff’s sale has the right to affirm or disaffirm the lease, and, if he elects the former course, may require the rent to be paid to him as assignee of the reversion. If he disaffirms it he has a summary remedy to obtain possession under our present laws, and when he affirms it he has all the remedies of a landlord, subject to all the advantages and disadvantages of that relation. The existence of the lease gives ■ notice of all its provisions, but possession apart from the lease is notice of the possessor’s claim of title, whatever it may be: Anderson v. Brinser, 129 Pa: 376, 404. Had inquiry been made of the tenant in possession, his claim under the lease would have been developed. Cadwalader, having this constructive notice, not only affirmed the lease by accepting the rent under it for a [371]*371year, but when he sold the property he assigned it to the plaintiff, who is now acting under it by a confession of judgment: Farmers’ and Mechanics’ Bank v. Ege, 9 Watts 436, 439; Tilford v. Fleming, 64 Pa. 300, 302; Braker v. Deuser, 49 Pa. Superior Ct. 215, 217. The affirmance of the lease carried with it the affirmance of the option. Once having accepted attornment, neither Cadwalader, nor plaintiff as assignee, could subsequently disavow it. The present plaintiff, as purchaser of the property and assignee of the lease through a straw man from Cadwalader, was affected with this knowledge; but he also knew of it in another way. He was subtenant under appellant, holding with knowledge of the option. Appellant notified him, and all parties necessary, of his purpose to exercise his option for the period of seven years. There is nothing in the record to deny him this right; immediately upon receipt of the notice within the option, the lease became a lease for ten years from the 4th of August, 1917. It should have been so held by the court below.

Having a lease for ten years, the lessor, before the end of the term, entered a judgment in ejectment under it and proceeded to issue a writ for possession. No rent was due, no covenant broken, but appellee sought to sustain his act and evade responsibility under certain clauses of the lease. If his view is correct, then the time-honored judgment-ejectment-waiver leases have a meaning never contemplated by the parties nor heretofore pressed on this court as the law.

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Bluebook (online)
117 A. 435, 271 Pa. 364, 1921 Pa. LEXIS 511, Counsel Stack Legal Research, https://law.counselstack.com/opinion/curry-v-bacharach-quality-shops-inc-pa-1921.