Ingalls v. Beall

122 P. 1063, 68 Wash. 247, 1912 Wash. LEXIS 1276
CourtWashington Supreme Court
DecidedApril 13, 1912
DocketNo. 10075
StatusPublished
Cited by5 cases

This text of 122 P. 1063 (Ingalls v. Beall) is published on Counsel Stack Legal Research, covering Washington Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Ingalls v. Beall, 122 P. 1063, 68 Wash. 247, 1912 Wash. LEXIS 1276 (Wash. 1912).

Opinion

Parker, J.

This is an action for the recovery of damages, claimed by the plaintiff to have resulted to him from the failure of the defendants to perform a covenant contained [248]*248in a lease made by them to him of property in Spokane. A trial before the court resulted in findings and judgment in favor of the plaintiff awarding him damages, and also denying reformation of the lease as prayed for by the defendants. From this disposition of the cause, the defendants have appealed.

On August 30, 1909, appellants leased to respondent certain lots in Spokane for the term of ten years, at the monthly rental of $30, payable monthly in advance. The lease contained no restrictions whatever upon the use of the property by the respondent. The property had upon it two small buildings, and a foundation upon which the construction of another somewhat larger building was contemplated. The covenant in the lease here involved relates to the construction of the building upon this foundation, and reads as follows:

“First parties agree to finish in a good, first-class, workmanlike manner and suitable for occupation, for warehouse purposes, the building on said property, the basement of which is now thereon of the size of 30x40 feet and 14 foot stud, properly covering same with good and substantial roofing.”

The premises had been used by appellants for some time in conducting their fuel business, and it was known that respondent contemplated using them for a similar purpose.

Respondent alleges in his complaint, in substance, that appellants have failed to erect the building as agreed by the covenant above quoted; that immediately after the execution of the lease and his going into the possession of the premises, he demanded of appellants that they erect the building as agreed, and repeatedly thereafter made such demand; that he has complied with all the terms of the lease upon his part, paying the rent at the times agreed upon, but under protest; that he has in no manner released appellants from their obligation to construct the building; and that by reason of their failure to construct the building, he has been damaged in [249]*249the sum of $1,000. There are other facts alleged in the complaint indicating an attempt on the part of respondent to allege special damages consisting of injury to his business and loss of profits therein, because the failure to construct the building prevented him from successfully carrying on a feed business in connection with his fuel business. Appellants’ answer consists principally of affirmative allegations showing mutual mistake in omitting from the terms of the written lease a provision prohibiting respondent from carrying on a feed business upon the premises. They prayed for reformation of the lease accordingly, and that respondent take nothing by the action. The cause proceeded to trial with the pleadings in this condition. There had been no challenge by motion or demurrer to the sufficiency of the complaint.

At the beginning of the trial, counsel for appellants announced to the court, in substance, that he would object to the introduction of any evidence of loss of profits or injury to respondent’s business, because no foundation therefor was laid in the complaint. The position thus taken by counsel was evidently rested upon the theory that such damages were special and had not been sufficiently pleaded in the complaint. We will adopt this view of counsel for appellants, since there is no necessity of determining the sufficiency of the complaint to admit evidence of such special damages, for the nature of the evidence introduced in behalf of respondent we think clearly shows that his counsel was not relying upon proof of such special damages.

Practically all of the evidence offered in behalf of respondent bearing upon the question of the measure of damages related to the diminished rental value of the premises by reason of the failure of the appellants to construct the building. There was some evidence tending to show that respondent’s business was to some extent interfered with by not having this building, but there was no evidence worthy of consideration showing any measure of loss of profits. The trial court [250]*250awarded damages measured by the diminished rental value of the premises by reason of the absence of the building, awarding respondent $18 per month computed from the time the building should have been constructed under the lease and respondent’s demand therefor up until the time of the trial. It has seemed necessary to us to say this much relative to counsel’s objection to the cause being tried upon the theory that respondent was entitled to special damages measured by loss of profits, in order to remove all controversy over those allegations of the complaint which might seem to constitute an effort to bring that question into the case and which counsel for appellants insists are not sufficient for that purpose. We think enough has been said to show that counsel on both sides have construed the issues as involving general damages only.

There is no question as. to the terms of the written lease, the payment of rent in compliance therewith, nor of the failure of appellants to construct the building. Testimony was offered in behalf of respondent to show the diminished rental value of the premises by reason of appellants’ failure to construct the building. This was shown by witnesses who were more or less familiar with rental values, and by testimony which we think was ample to support the court’s conclusions. This testimony was, however, introduced over the objections of counsel for appellants, who now argues in support of such objection, as we understand him, that the diminished rental value of the premises is not a proper measure of damages in this case because not pleaded on the complaint. His argument seems to proceed upon the theory that such damages are special, and that, therefore, the complaint must give some notice that the diminished rental value will be claimed as the measure of damages. Now it could hardly be seriously argued that the complaint does not state sufficient facts to admit proof of general damages resulting from the failure of appellants to construct the building. It is, of course, plain from the allegations of the complaint, as [251]*251we have seen, that respondent lost the use of the building by the failure of appellants to construct it according to their covenant. Clearly the law would contemplate that some damages would result to respondent by this breach of the covenant. What, then, is the measure of such damages in the absence of the pleading of any special circumstances showing the measure of damages? In 3 Sutherland on Damages, § 872, it is said:

“On the breach of the landlord’s covenant to repair, the tenant may abandon the premises if, by reason of want of repair, they have become untenantable; he may make the repairs and deduct the cost from the rent, though in some of the cases cited the qualification is added that the cost of repairs must not be large; he may occupy the premises without repair, and recoup his damages in an action for the rent, or he may sue for damages for breach of such covenant. In the latter action the lessor will be chargeable with the difference between the rent to be paid and the rental value.”

In 24 Cyc. 922, the rule is stated in the text thus:

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Bluebook (online)
122 P. 1063, 68 Wash. 247, 1912 Wash. LEXIS 1276, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ingalls-v-beall-wash-1912.