Genet v. President of the Delaware & Hudson Canal Co.

25 N.E. 922, 122 N.Y. 505, 34 N.Y. St. Rep. 246, 1890 N.Y. LEXIS 1631
New York Court of Appeals·Decided December 2, 1890·Published·Cited by 23 cases

Opinion

Brown, J.

The plaintiff sought to establish his first cause of action by proving a parol agreement made at the time of the execution of the written agreement, or prior thereto, and as a condition of its delivery. Hpon well settled rules of evidence proof of such an agreement was properly excluded.

So much has been written by this court within recent years upon the rule which forbids the admission of oral evidence when offered to vary the terms of a written contract and the modifications and- exceptions which exist as to that rule that the subject is about exhausted, and no further discussion is needed or desired. It" is sufficient to say of the plaintiff’s appeal, therefore, that this case does not fall within any of the *521 exceptions to the rule, and the judgment dismissing the complaint as to the first cause .of action must be aifirmed.

Upon the defendant’s appeal we are to inquire into the propriety of the injunction that has been granted and the damages that have been awarded, and the first and most important question presented is whether the defendant, under the contract, acquired a present, absolute right to use the shaft, breaker and machinery and other structures erected upon the surface of plaintiff’s land to mine and prepare for market coal from, adjoining and contiguous property.

This right defendant has heretofore exercised, and has mined coal from plaintiff’s property and from adjoining property through the Marvin shaft, the proof showing that from 1876 to May, 1886, 497,614 tons had been mined from plaintiff’s property, and 608,771 tons from adjoining lands. This right has been denied to the defendant by the judgment awarded by the referee, and it has been granted conditionally by the General Term, but upon such terms as absolutely nullifies the right.

The solution of the question requires an examination of the contract to determine precisely the rights and obligations of the parties thereunder. It is necessary to understand clearly what it is that the defendant has acquired, and what obligations it has assumed.

The first thing acquired by the defendant was “ all the coal contained in or under” the lands described in the contract, “ together with the right to enter upon and into said lands, and to dig, mine and remove said coal.”

It has the right to mine all the coal upon the land described in the contract, and this is without limitation as to time, except so far as that element may be controlled by the covenants and obligations thereto of the defendant, and it has the privilege to increase the quantity to be mined in any one year beyond the amount stipulated to be mined, i. <?., twenty thousand tons, and to diminish the quantity for any succeeding year or years by an amount corresponding with such increase.

Second. It acquired the right to dig and construct slopes, shafts and tunnels upon said premises, a right of way for rail *522 roads, switches, terminals, mine-roads, wagon-roads, ditches and drains that it might be necessary to construct across and upon said tract; the right to erect drains upon the surface ; the use of land for digging air shafts that might be considered necessary with the right to dig them; the use of land for repair shops, and any other shops or building deemed necessary for the prosecution of its business; the use of land for piling coal or cuhn, and all other appurtenances for mining, receiving, removing, . cleaning, scouring, dumping, storing, preparing and forwarding the coal to be mined under the agreement. '

Third. It acquired the right to use and occupy the rights and privileges granted, and the opening, buildings, fixtures and appurtenances made and constructed by it for mining, repairing and forwarding coal from the Genet property, for mining, preparing and forwarding coal from any adjoining or contiguous lands until the lands it should desire to take coal from, and that could be mined and taken out through said openings, shafts and slopes should be exhausted.

Also, to rebuild, reconstruct or remove any or all of the buildings, fixtures, machinery, appurtenances and improvements during the continuance of the agreement, and until the coal in the adjoining ana contiguous lands that could be worked from said openings, shafts, slopes and tunnels should be worked out.

In consideration of the granting of the rights and privileges specified, the defendant agreed to mine from plaintiff’s land in the years 1864 and I860 not less than ten thousand tons of coal, and twenty thousand tons in each and every year thereafter.

To pay for ten thousand tons in each and every year whether the same was actually mined or not, and in case twenty thousand tons was not mined in 1866 or any subsequent year, interest "at the rate of seven per cent per annum was to be paid to the plaintiff upon such sums as the deficiency should amount to ; such interest to be continued until the full quantity agreed to be taken out was reached. And it was to have the *523 privilege of taking out at any time thereafter a quantity of coal equal in amount to the deficiency it may have paid for in any previous year or years. And for coal mined it agreed to pay at the rate of 12-¡- cents per gross ton.

The rights and privileges granted by this agreement to the defendant in the surface of the land so far as they applied to mining coal on plaintiff’s land became as much its property as the coal beneath the surface. They were necessary for the prosecution of its business, and without them the value of the coal would have been materially decreased.

They were for immediate enjoyment, and the grant of them was for present use. ¡Not only is that implied from the very nature and character of the transaction, but the language of the agreement is that of a present right. The language is “ the parties of th,e first' part hath leased and doth hereby lease, etc., etc., * "x" the right to enter into said lands and to dig and remove said coal through or out of any shafts or tunnels they may dig or construct upon the premises, etc., etc., and the parties of the first part further lease and grant,” rights of way and use of land, etc., “ and all other appurtenances they may require for mining,” etc., etc., the coal to be mined under this agreement.”

There is no doubt and no claim, but that all the jn-ivileges thus leased and granted passed into the immediate possession and enjoyment of the defendant upon the execution of the agreement. Turning now to the grant of the privilege of taking out coal from adjoining lands through the plaintiff’s property the language is equally plain. It is “ it is further agreed that the party of the second part * * * may use and enjoy the right and privileges hereby granted * * * for mining "x" "x" * coal under this agreement * * * for mining, preparing and forwarding coal from any adjoining or contiguous lands.”

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Genet v. President of the Delaware & Hudson Canal Co., 25 N.E. 922, 122 N.Y. 505, 34 N.Y. St. Rep. 246, 1890 N.Y. LEXIS 1631 (N.Y. 1890).

25 N.E. 922 (Genet v. President of the Delaware & Hudson Canal Co.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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