Reynolds v. Tufts

179 S.E.2d 652, 123 Ga. App. 147, 1970 Ga. App. LEXIS 753

• Court: Court of Appeals of Georgia
• Decided: December 4, 1970
• Docket: 45656
• Status: Published

Opinions

Hall, Presiding Judge.

Lessor appeals on the general grounds from the judgment awarding plaintiff-leasing agent commissions on rent paid under a new lease contract between lessor and lessee, to which the agent was not a party.

The original lease contained this provision: "Lessor shall pay agents, as compensation for services rendered in procuring this lease, 5% of all rentals thereafter paid by lessee to lessor as rent for premises or any part thereof, whether paid under this lease or not.” (Emphasis supplied.) At its expiration, lessee did not exercise his renewal option but instead negotiated a new lease directly with lessor for enlarged premises at a higher rental. No further commissions were paid to the agent.

Argued September 17, 1970 Decided December 4, 1970 Rehearing denied December 18, 1970. Roland P. Smith, for appellant.

Lessor’s contentions that the original lease was not renewed, that the agency relationship was terminated, and that the agent had no part in procuring the new lease, would be good reasons for discontinuing the commission in the absence of the provision quoted above. Nevertheless, that provision clearly contemplates that as long as the two named parties maintain the lessor-lessee relationship for the described premises as shown in the original lease the agent will be entitled to continuing commissions for bringing them together initially. See Hunter v. Benamy Realty Co., 115 Ga. App. 829 (156 SE2d 160).

Judgment affirmed with direction that such amount as represents commissions on any premises other than those described in the original lease be written off.

Bell, C. J., Eberhardt, Pannell, Quillian and Evans, JJ., concur. Jordan, P. J., concurs in the judgment. Deen and Whitman JJ., dissent.