Gordon v. Pennsylvania Power Co.

20 Pa. D. & C. 674, 1934 Pa. Dist. & Cnty. Dec. LEXIS 320
CourtPennsylvania Court of Common Pleas, Mercer County
DecidedJanuary 24, 1934
Docketno. 232
StatusPublished

This text of 20 Pa. D. & C. 674 (Gordon v. Pennsylvania Power Co.) is published on Counsel Stack Legal Research, covering Pennsylvania Court of Common Pleas, Mercer County primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Gordon v. Pennsylvania Power Co., 20 Pa. D. & C. 674, 1934 Pa. Dist. & Cnty. Dec. LEXIS 320 (Pa. Super. Ct. 1934).

Opinion

McLaughry, P. J.,

This comes before the court on an affidavit of defense raising questions of law. It is alleged by the defendant that the plaintiff is not entitled to recover from the defendant upon the allegations set forth in the statement of claim.

William D. Gordon, Secretary of Banking of Pennsylvania, in possession of Dollar Title & Trust Company of Sharon, Pa., is seeking to recover rental from The Pennsylvania Power Company, a corporation, in the business'of manufacturing and transmitting electric power. The statement of claim alleges that [675]*675on April 18,1921, Wade B. Jones borrowed the sum of $2,000 from C. K. Hawthorne and Caroline M. Hawthorne and gave his bond and mortgage as security for the payment of the same, the property described in the mortgage being located in Hickory Township, Mercer County.

On September 28, 1925, the defendant entered into an article of agreement with the said Wade B. Jones, giving the defendant the right to cross his farm with its power lines and facilities, and to construct the line on steel towers to be erected thereon, for a consideration set forth in said agreement. The agreement was recorded on February 24,1927, in article book “E”, vol. 2, p. 145, in the recorder’s office of Mercer County, a copy of the article of agreement being attached to the statement of claim.

Wade B. Jones defaulted in his obligations on said bond and mortgage given to C. K. Hawthorne and Caroline M. Hawthorne, and on January 29, 1930, Dollar Title & Trust Company obtained title to the said farm at sheriff’s sale on foreclosure proceedings on the bond accompanying said mortgage, at no. 70, January term, 1930. Dollar Title & Trust Company notified the defendant in writing that beginning May 1,1930, and until the defendant’s equipment was entirely removed from the said farm, the defendant would be charged a rental of $10 per day. The plaintiff has attached to the statement of claim a copy of a letter dated July 29', 1930, addressed to Dollar Title & Trust Company, and signed by E. B. Crane, assistant engineer of the Pennsylvania Power Company, declining to pay any rental, alleging that the said company had already paid for the right of way across said land. The statement of claim further alleges that after receiving the notice of.Dollar Title & Trust Company of the rental charge for the use and occupancy of that portion of the farm used by the, defendant, the said defendant continued to use and occupy the same, “and by so doing acquiesced in and impliedly agreed to the price or sum so fixed by the plaintiff as aforesaid.”

The statement of claim further alleges that the defendant has continued to occupy said land and has not paid any amount for such use and occupancy, and the plaintiff seeks to recover from the defendant the sum of $10 per day from May 1, 1930. The statement of claim further states that the plaintiff is not averring a written or oral promise to pay, on the part of the defendant, but is basing its right to recover on the promise to pay “implied from the acts of the defendant in remaining on the land after the written notice from the plaintiff fixed the price as aforesaid.”

We have here clearly set forth in the statement of claim that Pennsylvania Power Company acquired a right of way by grant from Wade B. Jones, the owner of the land, which was in settlement of an appropriation which it had the legal right to make under the right of eminent domain. Dollar Title & Trust Company afterwards purchased the farm of Wade B. Jones, which was sold at sheriff’s sale on a mortgage held by C. K. Hawthorne and Caroline M. Hawthorne. At the time Dollar Title & Trust Company purchased said farm, the article of agreement between the said Wade B. Jones and Pennsylvania Power Company dated September 28, 1925, was recorded in the recorder’s office of Mercer County in article book “E”, vol. 2, p. 145, and the equipment of Pennsylvania Power Company was apparent on the ground. After obtaining a sheriff’s deed to the property on January 29, 1930, Dollar Title & Trust Company notified the defendant, in writing, that after May 1, 1930, or until the equipment of the defendant company was taken from the land, the defendant would be charged a rental of $10 per day. Pennsylvania Power Company refused to remove the equipment, refused to make any payment for rental, and informed the plaintiff that the defendant company had already purchased [676]*676the right of way over said property from the legal owner and therefore was under no obligation to the plaintiff. All these facts appear in the statement of claim and the exhibits attached to the same.

It is apparent from the facts set forth in the statement of claim that there was no contract between the plaintiff and the defendant whereby the defendant agreed to pay $10 per day, or any other amount, to the plaintiff. The question then arises: Was a contract to pay rental implied by the act of the power company in remaining in possession after demands were made for rental, when Pennsylvania Power Company denied liability and thereby disclosed its intention not to contract? We are unable to see how a contract can be implied from the action of defendant, in the face of the letter of July 29,1930, which the plaintiff acknowledges having received from the defendant, in which the defendant denies liability and refuses to contract, and sets forth the reason for such refusal. As we understand the theory of the plaintiff, an agreement is to be implied from the inaction of the power company in remaining in possession after being notified by the plaintiff that unless the power company removed its equipment by May 1, 1930, rental at $10 per day would be charged; that, instead of making a contract in the ordinary way, the defendant assented to the terms of the plaintiff by remaining in possession. Could there be such implication of a contract when we have such a clear declaration of the defendant company, denying liability, as set forth in the letter of July 29, 1930, which is a part of the plaintiff’s statement of claim? We think not. It is clearly the law that when a proposal is made for the performance of a certain thing, and the person to whom the offer is made expressly states that he will not agree to the •terms of the offer, no agreement can be inferred from his acts.

It is apparent from a reading of the statement of claim, and from the brief of counsel, that plaintiff claims the right to collect rental from the defendant because of the fact that grant of the right of way from Wade B. Jones to the power company was extinguished by the sheriff’s sale on the mortgage. The mortgage from Wade B. Jones to C. K. Hawthorne and Caroline M. Hawthorne was recorded prior to the creation of the easement. The question is: Is that material? Did the power company’s easement survive the sheriff’s sale, on the ground that a judicial sale does not extinguish an easement that is apparent? We are of the opinion that under the law of Pennsylvania Dollar Title & Trust Company acquired its title to the farm at the sheriff’s sale subject to the easement. It is true that it must appear that Dollar Title & Trust Company had notice of the easement at the time of the sale. It is set forth in the statement of claim that the agreement between Wade B. Jones and Pennsylvania Power Company was duly recorded in the usual manner for recording such documents, and this in itself is sufficient notice. '

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Bluebook (online)
20 Pa. D. & C. 674, 1934 Pa. Dist. & Cnty. Dec. LEXIS 320, Counsel Stack Legal Research, https://law.counselstack.com/opinion/gordon-v-pennsylvania-power-co-pactcomplmercer-1934.