Kiefer v. First Capitol Sports Center, Inc.

684 S.W.2d 483, 1984 Mo. App. LEXIS 4281
CourtMissouri Court of Appeals
DecidedDecember 4, 1984
DocketNo. 47321
StatusPublished
Cited by9 cases

This text of 684 S.W.2d 483 (Kiefer v. First Capitol Sports Center, Inc.) is published on Counsel Stack Legal Research, covering Missouri Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Kiefer v. First Capitol Sports Center, Inc., 684 S.W.2d 483, 1984 Mo. App. LEXIS 4281 (Mo. Ct. App. 1984).

Opinion

JAMES J. GALLAGHER, Special Judge.

This is an appeal from a judgment of the Circuit Court of St. Charles County, Missouri, awarding the respondent damages in unlawful detainer under § 534.030 RSMo 1978.1 The property involved is improved real estate located in St. Charles, Missouri, owned by Roy R. Thoele and Madonna J. Thoele. They conveyed this real estate in limited trust to Joseph C. Meek, trustee, on July 7, 1971, for a term of 133 months to August 7, 1982. On March 7, 1980, David T. Kiefer was appointed successor trustee for the remaining term. The trust created was one known as a “Clifford Trust” described in the trial as a tax saving device wherein legal ownership of designated assets is transferred to a trustee in order that income will go to beneficiaries who may be in a lower tax bracket. It was suggested by questions in the trial that the Internal Revenue Code and regulations set forth the legal requirements for such a trust, but any such requirements were not detailed in evidence except an accountant witness testified that such a trust must be in effect for at least ten years.

On January 18, 1978, Roy R. Thoele and Madonna J. Thoele, designated as lessor, entered into a lease of the trust property with First Capitol Sports Center, Inc., as lessee, for a term of three years commencing February 1, 1978, and ending January 31, 1981, with monthly rental at $1,400.00. The lease was signed by the Thoeles as the lessor and by William C. Wefel on behalf of First Capitol Sports Center, lessee. Mr. Wefel was an attorney, stockholder and officer in the lessee corporation. He was not aware of the trust agreement. The lease does not mention the trust nor was the trustee, at that time Joseph C. Meek, designated as a party to the lease.

During the term of the lease, Roy R. Thoele managed the property. He received the rent payments, handled all maintenance questions with the tenant and transacted the insurance. After David Kiefer became trustee, he recommended to Mrs. Thoele that the lessee be directed to make the rental checks payable to David T. Kiefer, trustee, even though Roy Thoele would receive the checks and deposit them to the trust beneficiaries’ account. The lessee complied but did not inquire as to the nature of the trust arrangement. When the lease ended in January 1981 Mr. Wefel negotiated for First Capitol with Mr. Thoele for a new lease. During initial negotiations, First Capitol Sports Center remained on the premises on a month to month basis continuing to pay $1,400.00 monthly. These payments were accepted by Roy Thoele. The lessee never negotiated with David Kiefer, trustee. Discussions between Thoele and Wefel failed and on or about July 25, 1981, First Capitol received a written notice to terminate tenancy effective August 31, 1981. This notice was signed by David T. Hamilton, Attorney for Roy Thoele, owner.

After receiving written notice to terminate, Mr. Wefel of First Capitol received information that Roy Thoele was not the owner but that the property was in trust. No investigation was made as to the nature of the trust nor the extent of Roy Thoele’s authority. First Capitol remained in possession under the assumption that the notice to terminate was invalid since David [486]*486Kiefer was the trustee and he was the owner and entitled to possession under § 441.060 not Roy Thoele. However, First Capitol did vacate the premises on May 31, 1982, pursuant to a written notice of termination delivered to David Kiefer by Mr. Wefel. First Capitol Sports Center paid a monthly rental of $1,400.00 for each month except the month of May 1982 for which it sent a check in the amount of $700.00 and applied a $700.00 security deposit to the rental.

On September 15, 1981, attorney David Hamilton filed a verified petition in the associate circuit court of St. Charles County for unlawful detainer, the parties being Roy Thoele, plaintiff, and First Capitol Sports Center, Inc., defendant. An amended petition was filed in October, and in February 1982 a motion by plaintiff sought “an order joining and substituting David T. Kiefer as a plaintiff” in the associate division. The motion was granted and David T. Kiefer, trustee, was “joined as plaintiff” and “ordered substituted for plaintiff Roy Thoele”, this being the language of the court order. Although the order permitting joinder was imprecise in form, it appears from the record that Roy Thoele continued to be regarded as a party and was not discharged.

In the trial court judgment was entered in favor of plaintiffs in unlawful detainer in the amount of $1,400.00 per month for a period of nine months multiplied by two for statutory damages, for a total of $25,-200.00 less credit of $11,900.00 for amounts paid, leaving a balance due of $13,300.00.

The principal issue is whether the written notice to the lessee, First Capitol Sports Center, Inc., to terminate tenancy under §§ 441.050 and 534.030, in an action for unlawful detainer was valid. Appellant contends Roy Thoele was not entitled to possession nor a proper agent and therefore could not give a valid notice of terminate tenancy. Collateral issues concern whether the petition in unlawful detainer was properly amended as to the party plaintiff and whether the amount of damages awarded was correct. We affirm on all issues.

The lease, from its inception to final termination, was not a model of landlord-tenant relations. The original lease designated Roy R. Thoele and Madonna J. Thoele as lessors in 1978 when in fact the property was in trust with Joseph C. Meek as trustee. However, the validity of this lease was not an issue in the trial court or in this appeal. There was oral evidence that Meek authorized Roy Thoele to sign the lease. During the term of the lease, it is quite evident that Roy Thoele managed the property in all particulars. He collected and deposited the rent, provided for insurance, received complaints on upkeep and maintenance, and negotiated with the tenant for a new lease when the original lease expired.

At this point it should be noted that after termination of the fixed term in the written lease to First Capitol Sports Center, a notice to the tenant to quit the premises would not have been required. See § 441.070; Kilbourne v. Forester, 464 S.W.2d 770, 774 (Mo.App.1970). If the tenant holds over with some form of consent from the landlord or his agent, then the possession may ripen into a form of tenancy generally at will and for a period of time usually for a month or more depending on the intention of the parties as indicated by their actions. The lessee in this cause became a tenant at will on a month to month basis. Both parties agree as to the month to month tenancy but disagree as to whether the tenancy should be characterized as one “at will” or “by sufferance”. For a discussion of the distinction, See Kilbourne v. Forester, 464 S.W.2d at 775, 776. The difference is not a matter of concern in this appeal but it is clear that the hold over tenancy in this matter is one at will on a month to month basis.

Thus, the problem of notice in this cause arises out of the fact that the tenant First Capitol Sports Center, Inc. held over after the fixed term of the written lease, establishing a new form of tenancy. But a new term of tenancy is not created without some form of consent on the part of the [487]*487landlord or his agent. There must be some facts which indicate an assent by the landlord or agent to a tenancy. Millhouse v. Drainage Dist. No. 48 of Dunklin County,

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Bluebook (online)
684 S.W.2d 483, 1984 Mo. App. LEXIS 4281, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kiefer-v-first-capitol-sports-center-inc-moctapp-1984.