Meyn v. City of Gulfport

570 So. 2d 1198, 1990 Miss. LEXIS 706, 1990 WL 194078
CourtMississippi Supreme Court
DecidedNovember 7, 1990
DocketNo. 89-CA-0429
StatusPublished
Cited by2 cases

This text of 570 So. 2d 1198 (Meyn v. City of Gulfport) is published on Counsel Stack Legal Research, covering Mississippi Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Meyn v. City of Gulfport, 570 So. 2d 1198, 1990 Miss. LEXIS 706, 1990 WL 194078 (Mich. 1990).

Opinion

ROY NOBLE LEE, Chief Justice,

for the Court:

John N. (Dutch) Meyn filed suit in the Chancery Court of Harrison County against the City of Gulfport charging that the city breached its lease agreement with Meyn when it failed to defend Meyn’s possession of the demised premises against the interference of the Harrison County Board of Supervisors. The lower court entered a decree in favor of the City of Gulf-port and against Meyn. He appeals from the judgment to this Court.

FACTS

Dutch Meyn, in the fall of 1986, sought to lease from the City of Gulfport certain property which is located south of the intersection of Courthouse Road and Highway 90. Meyn intended to erect on the leased property a directional sign to advertise the businesses located in the Courthouse Road area. The sign, when completed, would have been fifty-five feet tall and twenty-three to twenty-four feet wide. It was to contain twenty smaller signs, eighteen three-foot by ten-foot signs and 2 four-foot by ten-foot signs, which would be rented to interested businesses.

On September 25, 1986, Meyn made a formal offer to the City of Gulfport to lease the aforementioned property for the purpose of erecting the directional sign. On October 21, 1986, the city, upon receiving a recommendation to lease such property from the mayor, voted unanimously to lease the property to Meyn for the sum of one thousand two hundred dollars per an-num. On October 29, 1986, Meyn formed Metroplex Corporation to act as his agent to purchase the sign and to manage the leasing of spaces on such sign. He was president of Metroplex. On November 19, 1986, Metroplex contracted with Toby’s Neon and Plastic Sign, Inc. to erect the sign in question for the sum of forty-two thousand dollars. Only the sum of twenty one thousand dollars, to date, has been paid to Toby’s toward the purchase of the sign.

On November 18, 1986, the City of Gulf-port formally leased the property in question to Meyn. Between December 3, 1986 and January 2, 1987 Metroplex entered into nine written leases with merchants for advertising on the sign. Seven of the spaces on the sign were rented for one hundred and fifty dollars per month while two were rented for one hundred and twenty five dollars per month. Leasing efforts by Me-troplex were discontinued on January 3, 1987 due to delays in acquiring the materials necessary for the construction of the sign.

On or about February 9, 1987, construction began on the sign at Courthouse Road. On February 13,1987, the Harrison County Board of Supervisors issued a cease and desist order prohibiting the construction of the sign. Such order informed Meyn that a show cause hearing would be held on March 2, 1987. At the time that the construction of the sign was halted sixty two cubic yards of concrete and reinforcing steel had been placed into a hole that was thirty-feet long, eleven-feet wide and nine-feet deep, which was to serve as the foundation for the sign. Three twenty-four inch diameter pipes extended ten feet upward from the foundation onto which the sign would have been attached

At the March 2, 1987, show cause hearing, the City of Gulfport announced that it was of the opinion that the City of Gulfport had paramount jurisdiction to the leased area, not the Harrison County Board of Supervisors, and that the City could do as it pleased with said property. The City, however, did not contest the Board’s cease and desist order, it being of the opinion that to contest such an order would be too costly as to legal fees and other costs associated therewith. Meyn at the hearing also asserted that the city, not the county, had superior jurisdiction to the leased premises. Meyn, however, complied with the Board of Supervisors’ order and did not contest the county’s jurisdiction, he being of the opinion that it was the City of Gulfport’s duty to pursue litigation against the County to quiet the dispute over jurisdiction, since the City was the lessor.

[1200]*1200Meyn filed the present action in the Harrison County Chancery Court alleging that the City of Gulfport breached an implied covenant of quiet enjoyment by failing to protect Meyn’s interest in the property against the Harrison Board of Supervisors cease and desist order. Toby’s Neon and Plastic Sign intervened in the action asserting a claim of twenty one thousand dollars, the amount still owing on the balance of the sign, against the City of Gulfport. The chancery court dismissed Toby’s action as being improperly brought, there being no privity of contract between Toby’s and the City of Gulfport.

At the trial on the merits in the Harrison County Chancery Court the parties disagreed extensively on the amount, if any, of damages. Meyn asserts that he has been damaged in the amount of one hundred and ninety seven thousand five hundred twelve dollars and forty-two cents. Meyn arrives at this figure as follows:

Eight leases for five years $61,800.00
One lease (lost) five years 9,000.00
Eleven spaces to be leased for five years 82,000.00
Cost of sign 42,000.00
Other cost 2,712.42
Total 197,512.42

The city asserts that no damages are warranted, particularly those for lost profits, such figures being too speculative in nature. At the trial, it was revealed that the two portions of the $42,000 sign of Metro-plex were sold to third parties in an effort to recoup losses due to Metroplex’s inability to erect the sign in question. One portion was sold for fourteen thousand dollars and the other for two thousand five hundred dollars.

LAW

The sole issue presented in this case is whether or not Meyn is entitled to prevail against the City of Gulfport under the theory of a breach of an implied covenant of quiet enjoyment as a result of Meyn’s failure to carry the burden of proof that the Harrison County Board of Supervisors’ right to the demised property was paramount to that of the City of Gulfport.

Meyn contends that there was an implied covenant of quiet enjoyment in the lease agreement between him and the City of Gulfport. We recognize that, absent express language to the contrary, real estate leases contain an implied covenant of quiet enjoyment against lessor interference. The general rule is stated:

[T]he rule now established by nearly all the courts is that the ordinary lease of realty, if valid, and executed by a person capable of making such a covenant, raises an implied covenant that the lessee shall have the quiet and peaceable possession and enjoyment of the leased premises, so far as regards the lessor, or anyone lawfully claiming through or under him, or anyone asserting a title to the leased premises superior and paramount to that of the lessor, unless there is ... an express stipulation in the lease that nothing therein contained should be construed to imply a covenant for quiet enjoyment. ...

49 Am.Jur.2d Landlord and Tenant § 330 (1970). See also Gulf Refining Co. of Louisiana v. Terry, 163 Miss. 869, 142 So. 457 (1932) ((overruled in part on unrelated grounds) Pace v. State ex rel. Rice, 191 Miss. 780, 4 So.2d 270 (1941)).

In Gulf Refining Co. of Louisiana v. Terry,

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570 So. 2d 1198, 1990 Miss. LEXIS 706, 1990 WL 194078, Counsel Stack Legal Research, https://law.counselstack.com/opinion/meyn-v-city-of-gulfport-miss-1990.