Lehigh Valley Coal Co. v. Everhart

55 A. 864, 206 Pa. 118, 1903 Pa. LEXIS 660
CourtSupreme Court of Pennsylvania
DecidedMay 11, 1903
DocketAppeal, No. 328
StatusPublished
Cited by15 cases

This text of 55 A. 864 (Lehigh Valley Coal Co. v. Everhart) is published on Counsel Stack Legal Research, covering Supreme Court of Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Lehigh Valley Coal Co. v. Everhart, 55 A. 864, 206 Pa. 118, 1903 Pa. LEXIS 660 (Pa. 1903).

Opinions

Opinion by

Mr.. Justice Mestrezat,

By a contract in writing, dated January 1, 1884, the plaintiff and defendants’ predecessor in title, each being the owner of the undivided one half of the premises, for the consideration of the rents therein named and the covenants to be performed by the lessee, “ demised, leased and to mine let ” to one Frederick Mercur “ all the anthracite coal ” in and under a certain tract of land lying in Luzerne and Lackawanna counties, together with, the use of such portion of the surface as might be required for mining improvements necessary for the development of the mining operation; and also with the right to cut and use timber on lessors’ land for mining purposes during the term of the lease. The contract provided that the lessee should “ have and hold the said coal and mining privileges with the surface rights .... until all the merchantable coal which can be mined and removed by proper, skilful and workmanlike mining shall be mined out and exhausted.”

The lessee covenanted, inter alia, as follows: That he would forthwith enter into possession of the demised premises and proceed with due diligence to mine and remove all the merchantable coal; that he would pay quarterly a royalty of thirty cents per ton for each ton of coal mined and shipped.which should pass over a screen of five eighths inch square, mesh, and for all coal which should pass through a screen of five eighths inch square mesh, a royalty proportioned to the prices of the larger sizes; that after the first year, he would pay “a fixed minimum cash royalty annually of thirty thousand dollars in quarterly instalments as aforesaid and for such payment may mine and remove in each and every year as aforesaid one hundred thousand tons of coal of the sizes larger than pea coal .... And if in any one year the stipulated minimum cash royalty shall be paid and sufficient coal at the royalty aforesaid to equal such minimum shall not have been mined out and removed, the deficit may be. mined out and removed, without charge, in any subse[121]*121quent year of the term.” The contract provided that the payment of the royalty should be suspended if the machinery should be broken or injured and for certain other enumerated causes. The ninth paragraph is, inter alia, as follows: “ That if at any time any installment of rent or any part thereof shall remain unpaid for the period of sixty days .... the said lessors may at their option declare this lease at an end, and thereupon all rights of the said lessee under this instrument shall absolutely cease and determine .... and in case a cause of forfeiture shall arise .... and shall .... be waived, the right of forfeiture shall remain and be in force whenever and so often as a new cause of forfeiture by reasons of nonpayment of rent or otherwise shall arise.” It was further stipulated in the same paragraph that “to the end that a speedy process may be had for the recovery and the resumption of the possession of the demised premises after forfeiture declared,” the lessors might, by a power of attorney therein given, enter judgment in any action of ejectment brought to recover the premises upon which judgment a writ of habere facias possessionem might issue forthwith and the premises with all the improvements thereon be delivered at once to the lessors.

For a nominal consideration, Mereur, the lessee, on March 29, 1884, sold and assigned all his interest in the lease to the Lehigh Yalley Coal Company, the plaintiff in this suit. No mining operations were begun on the property until November, 1890, but in the meantime, the coal company paid the stipulated annual royalties.

This bill was filed January 16, 1902, and it avers, inter alia, that up to October 1,1901, the plaintiff had paid to defendants the full amount of the royalties due them under the terms of the contract for all the coal in and under the land described therein, and that they were not entitled to any further payments or royalties under or by virtue of the terms of the agreement. The bill prayed that it be decreed that the plaintiff has paid the full amount of royalty that it is required to pay by virtue of the lease and is entitled to possession of the demised premises without further payments until it shall have mined and removed the remainder of the coal in and under the premises. A further prayer of the bill was tlmt defendants be enjoined “ from declaring the terms of the said mining lease at an end and from [122]*122resuming possession summarily of the said premises,” and from interfering with plaintiff’s possession thereof until it shall have mined and removed the remainder of the coal in and under the demised premises. The answer denied that the coal remaining in the land had been paid for and also denied that the plaintiff had observed its covenants, and averred a breach of the same in that it had not paid the minimum amount of royalties payable on January 20, 1902.

The learned trial judge found that the payments made to the defendants up to October 1, 1901, were in excess of the value of their share of the coal mined and removed according to the method of valuation provided by the lease, and was, by the same method of calculation, also in excess of the sum due the defendants for the coal mined and yet to be mined on the premises. He held “ that the plaintiff is entitled to mine and remove, within a reasonable time, the unmined portion of the moiety of the coal demised in the indenture mentioned in the bill, for which it has made payment, without the payment of any further royalty, minimum or consideration therefor,” and enjoined the defendants “ during said reasonable time” from declaring “ the term of the said indenture at an end,” and from resuming possession of the coal or from interfering with the plaintiff company’s possession of the same until it shall have mined and removed the coal.

The right of the. plaintiff to the relief sought in the bill depends upon the construction of the contract made on January 1, 1884. The intention of the parties must be ascertained from their contract, and when thus ascertained, it must be carried out regardless of any supposed hardship that may result to either of the parties. When the terms of an instrument are plain and easy of interpretation, there is no necessity for invoking the aid of technical rules of construction to determine the intention of the parties. This frequently leads to the making of another and different contract by the court, and not to the enforcement of the contract of the parties which is the duty of that tribunal. Here, we are not concerned with what the parties should have done, what stipulation they should have inserted in their contract, but our sole duty is to compel them to observe and carry out what they did as evidenced by the instrument in writing which bears their signatures. If [123]*123either of the parties made a “ hard and unconscionable bargain,” it is his act, and in the absence of fraud, accident or mistake, he cannot invoke the aid of a court to relieve him from his folly. Such errors have not yet been recognized or regarded as being within the corrective powers of either the legal or chancery side of our courts of justice, and until the authority is conferred or declared to exist, we must decline to exercise it.

By the terms of this agreement, the lessee became entitled to all the merchantable coal within the described premises, together with the use of such portion of the lessors’ surface as might be required for airshafts and other mining improvements, and also with the right to cut and use timber on the lessors’ lands for mining purposes during the existence of the lease.

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Bluebook (online)
55 A. 864, 206 Pa. 118, 1903 Pa. LEXIS 660, Counsel Stack Legal Research, https://law.counselstack.com/opinion/lehigh-valley-coal-co-v-everhart-pa-1903.