Kandra v. Higgins

281 P.2d 243, 46 Wash. 2d 321, 1955 Wash. LEXIS 481
CourtWashington Supreme Court
DecidedMarch 17, 1955
DocketNo. 33075
StatusPublished
Cited by1 cases

This text of 281 P.2d 243 (Kandra v. Higgins) 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
Kandra v. Higgins, 281 P.2d 243, 46 Wash. 2d 321, 1955 Wash. LEXIS 481 (Wash. 1955).

Opinion

Rosellini, J.

This appeal involves the interpretation of a farm lease,' in Grant county, executed by the respondents as lessors and appellants as lessees. The farm in question was sold to the respondents by the appellants and a partner, Edward Welch. It was leased back to the appellants as part of the same transaction. The lease was drawn by respondents’ attorney, and the appellants had nothing' to do with its preparation other than to furnish the tabulation which appears below in the quoted provision of the lease.

After the crops were harvested by the lessees, a dispute arose as to the rental due under the terms of the lease, resulting in a suit by the lessees to recover a refund alleged to be due on the advance rental paid under the terms of the lease. The lessors denied that any refund was owing and cross-complained for additional rent alleged to be due and asked for an accounting. The suit was tried to the court, which found in favor of the respondent lessors.

The pertinent part of the lease reads as follows:

. . . for the crop year beginning April 26, 1951, and expiring December 31, 1951, for a rental of $32,500.00 or for one-quarter of the crops raised upon said lands by the lessees whichever is the greater.
“It is estimated that the crops to be grown upon the acreage herein set forth and leased by' lessors will if properly farmed by lessees produce amounts herein set forth as follows:
Guarantee
“Crops Acres
Per Acre
WHEAT ........... 215.70
50.00
BEETS ............ 70.90
50.00
MINT ............. 117.90
50.00
POTATOES ........ 67.50
50.00
ONIONS .......... 65.00
50.00
PASTURE ......... 44.00
50.00
GRAPES .......... 16.00
50.00
ALFALFA ......... 22.00
50.00
BUILDINGS ....... 1.75
50.00
FEED LOT ........ 11.00
50.00
CORN ............. 18.25
50.00
Total Guarantee Per Acres
$10,785.00
3.545.00
5.895.00
3.375.00
3.250.00
2.200.00
800.00
1,100.00
87.50
550.00
912.50
$32,500.00
Estimated Total Production
$10,750.00
7.090.00
9.440.00
6.750.00
13,000.00
2.200.00
800.00
1,100.00
200.00
550.00
900.00
$52,780.00
“It is agreed that the lessees have paid to the lessors the sum of $38,000.00 as rental for the above described acreage, [323]*323which said amount has heretofore been receipted for, and which amount shall be credited upon the rentals due provided that the value of the one-quarter of the crop exceed $38,000.00, and if one-quarter of the crop does not exceed the sum of $32,500.00 and the parties hereto accept a cash rental proposition, then the lessors shall return to the lessees whatever amount they have paid in excess of the cash rental of $32,500.00.”

It was stipulated by both parties at the trial that a rental of $50 per acre would be paid for nonproductive land, being 56.75 acres, which included pasture, feed lot, and buildings. This construction of the lease is indicated by the column headed “estimated total production,” which includes “production” for these admittedly nonproductive areas, although it is not so expressed elsewhere in the lease.

The question which we must decide, then, is whether the lease provides for a rental of $32,500 or the proceeds of one quarter of the total crop raised, whichever is greater, plus the stipulated trial agreement of $50 per acre rental for nonproductive land, or, as respondents contend and the trial court found,

“ . . . a minimum rental of $50.00 per acre for each crop grown thereon including acreage occupied by buildings, feed lot and pasture or 25% of each particular crop in the event 25% of that particular crop exceeded $50.00 per acre.”

The trial court, in construing the lease, further found

“ . . . that each party to the lease is equal in the interpretation of the lease except that the figures in the lease should be construed more favorably to the lessors as the information of the production of the land was gained from the plaintiff, Stephen Kandra, and his partner, Edward Welch.”

The rental provision is plain and unambiguous. It provides for payment of a lump sum of cash rental only in the event one quarter of the proceeds of the crops does not exceed $32,500. If there is any ambiguity at all, it arises through the choice of language used in the columnar headings in the tabulation. The trial court attached special significance to the heading “guarantee per acre” and in[324]*324terpreted it to mean “guaranteed production per acre.” However, the testimony of the parties established and the court found it to be a fact that the column “estimated total production” represented estimated rental if the land was properly farmed.

In comparing the estimated total production of wheat and corn with the “total guarantee per acre,” we find the estimated rental is less than the supposed guarantee. Thus, any inference raised by the columns headed “guarantee” is refuted by the column relating to the estimated rental. We are left with the unambiguous provision in the preceding paragraph to the effect that the rental should be “$32,500.00 or . . . one-quarter of the crops raised . . . whichever is the greater.”

If the lease were ambiguous, we should nevertheless be inclined to hold that the lessee should have the benefit of the rule that the construction less favorable to the party preparing the contract must be adopted. State Bank of Wilbur v. Phillips, 11 Wn. (2d) 483, 119 P. (2d) 664. The record is not clear as to whether the lease was demanded by the seller or the purchaser in the “package transaction,” but the fact that it was required by either party would have no effect on the application of the rule of construction.

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Cite This Page — Counsel Stack

Bluebook (online)
281 P.2d 243, 46 Wash. 2d 321, 1955 Wash. LEXIS 481, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kandra-v-higgins-wash-1955.