Stonegap Colliery Co. v. Kelly & Vicars

79 S.E. 341, 115 Va. 390, 1913 Va. LEXIS 50
CourtSupreme Court of Virginia
DecidedSeptember 11, 1913
StatusPublished
Cited by13 cases

This text of 79 S.E. 341 (Stonegap Colliery Co. v. Kelly & Vicars) is published on Counsel Stack Legal Research, covering Supreme Court of Virginia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Stonegap Colliery Co. v. Kelly & Vicars, 79 S.E. 341, 115 Va. 390, 1913 Va. LEXIS 50 (Va. 1913).

Opinion

Harrison, J.,

delivered the opinion of the court.

This controversy involves the construction and proper interpretation of a certain mining lease entered into between the parties thereto on the 17th of July, 1902. The bill was filed by the appellees seeking to enjoin the appellant from using any of the leased premises for any purpose other than that of mining coal, making coke and selling the same, and th£ts the appellant be especially enjoined from collecting rents from the Currier Lumber Corporation, such rents being claimed by the appellees, and that the appellant be compelled to account to the appellees for all rents, issues and profits that it had theretofore received from the leased premises by uses foreign to the purpose of the lease.

In the progress of the voluminous proceedings which followed, the prayer of the bill was granted, perpetually enjoining the appellant from making the uses of the leased premises complained of, and a final decree was entered awarding a money recovery against the appellant for rents it had'collected from the occupants of certain houses on the leased premises.

In the view we take of the case we will not stop to consider the demurrer to the bill, which was overruled, but will proceed at once to consider the merits of the controversy.

It appears that in July, 1902, the appellant leased from the appellees a contiguous boundary of land containing approximately 5,700 acres, for the purpose of mining coal, making coke and selling the same. This body of land is made up of numerous smaller tracts acquired by the lessors [392]*392at different times, and much of it has no mineral value, but is only valuable for its uses in connection with that part where the mining operations are carried on. It further appears that in order to provide in an economical way against the increasing demand for tenement houses expected to result from the development of the mines, appellant, in November, 1905, entered into an agreement with R. D. Benson, trustee, who had large timber and stave mills on an adjacent tract of land, by which it leased to him 5.84 acres of the leased premises and permitted him to erect thereon a number of houses, to occupy the same for a period of ten years, paying a nominal rent therefor of $25.00 per year, and at the end of said period the land and houses to revert to the appellant. In September, 1908, the Currier Lumber Corporation, successor to R. D. Benson, trustee, leased from appellant a number of these houses for a period of eight months at $10 each' per month. The right of appellant to make these contracts and derive the benefits flowing from them is the question involved in this litigation.

The deed of lease is to be regarded in the light of the following well known rules of construction: (1) The language of the contract is to be construed most strongly against the grantor; and (2) The intention of the parties must be ascertained by reference to the entire instrument and not to disjointed parts of it. 2 Min. Inst. 1056, 1058.

In Chamberlain v. Brown, 141 Iowa 546, 120 N. W. 338, the court says: “There is another familiar rule applicable to cases of this kind that, if the meaning and effect of the lease be fairly capable of two constructions, that will be adopted which is most favorable to the lessee.”

“Those things which are appurtenant to a mine will pass under a lease of the mine as a necessary part thereof, although not mentioned in the lease.” 27 Cyc. 700. See also Devlin on Deeds, sec. 863.

[393]*393In City of New York v. Interborough R. T. Co., 125 N. Y. App. Div. 437, 109 N. Y. Supp. 885, the court says: “This is a recognition of the right of the lessee to use the demised premises for such collateral purposes as such property might he customarily used. A lessee of real property is entitled to the exclusive use of the demised premises for any purpose not prohibited by the lease, not amounting to waste or destruction of the subject matter. This is the general rule.”

“The grant of a thing passes the incident as well as the principal, though the latter only is mentioned; and this cannot be avoided without an express reservation. . . . A grant of a thing will include whatever the grantor had power to convey, which is reasonably necessary to the enjoyment of the thing granted.” Riddle v. Littlefield, 53 N. H., 16 Am. Rep. 388.

The first clause of the lease provides as follows: “The lessors hereby lease to the lessee, its successors and assigns, for the purpose of mining coal and manufacturing coke thereon and therefrom; and selling said coke and coal, the following tracts or boundaries of coal lands or coal rights and surface rights owned by the lessors near the town of Wise, Wise county, Virginia.” Then follows the description of eighty-six different tracts or parcels of land, some of which were owned in entirety by the lessors and as to others they only owned the coal and other minerals, together with certain mining rights and privileges, and as to others they only owned the surface. This description of the several properties is followed by the following clause: “All of the rights and privileges which have been granted by the various grantors hereinbefore named to either the said Kelly or said Vicars, or by any other grantor or grantors, to them or either of them for any of the land, coal, surface, or mining rights and privileges, hereinbefore specifically described and not herein excepted or reserved, and [394]*394which the said lessors now own shall pass to the lessee under this lease; but it is understood that the said lessors have heretofore sold and conveyed divers tracts, pieces or parcels of surface to various persons, which were conveyed to them by the aforesaid grantors and all of which are reserved from the operation of this lease.”

These provisions of the lease constitute all that is essential to be considered in its construction. It seems clear that, under these provisions, the surface rights owned by the lessors are granted to the lessee, certainly all of such rights passed from the lessors. In other words, the whole of the properties owned by the lessors passed to the lessee, together with all rights and privileges appurtenant thereto. If it was the intention of the parties that the lessee should have, for the purpose of its operations, all of the property, rights and privileges owned by the grantors, more apt language to accomplish that purpose could hardly have been employed than that of the two provisions of the deed ivhich have been mentioned. There are no covenants in the deed restraining the beneficial use of the premises granted, and it is obviously inconsistent with the principles upon which a court of equity acts to raise by implication a covenant in restraint of a beneficial use of property. A covenant that premises shall be used by a lessee for a particular specified purpose does not impliedly forbid that they may be used for a similar lawful purpose which is not injurious to the landlord’s rights, unless such other use is expressly forbidden. Reed v. Lewis, 74 Ind. 433, 39 Am. Rep. 88; San Antonio Brewing Asso. v. Brentz, 39 Tex. Civ. App. 443, 88 S. W. 368.

The law on the subject is stated as follows in 24 Cyc. 1046, citing numerous cases: “The general rule is that by the lease of a building everything which belongs to it, or is used with and appurtenant to it, and which is reasonably essential to its enjoyment, passes as incident to the principal thing and as a part of it unless specially reserved.”

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Bluebook (online)
79 S.E. 341, 115 Va. 390, 1913 Va. LEXIS 50, Counsel Stack Legal Research, https://law.counselstack.com/opinion/stonegap-colliery-co-v-kelly-vicars-va-1913.