Thompson v. Poirier

420 A.2d 297, 120 N.H. 584, 1980 N.H. LEXIS 363
CourtSupreme Court of New Hampshire
DecidedSeptember 10, 1980
Docket79-426
StatusPublished
Cited by10 cases

This text of 420 A.2d 297 (Thompson v. Poirier) is published on Counsel Stack Legal Research, covering Supreme Court of New Hampshire primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Thompson v. Poirier, 420 A.2d 297, 120 N.H. 584, 1980 N.H. LEXIS 363 (N.H. 1980).

Opinion

DOUGLAS, J.

This case raises questions whether the defendants constructively evicted the plaintiff from certain leased business premises, whether the corporate plaintiff is a proper party to the action, and whether the court below acted properly in awarding the plaintiff moving expenses, lost profits and attorney fees.

Frank Thompson and Russell Poirier owned and operated separate sign-painting and manufacturing businesses in the Hooksett area. In December 1973 the two agreed that Mr. Poirier, who owned Whitey’s Signs, would construct on his business premises a building suitable to house Mr. Thompson’s business, Capitol Sign Co., and that Mr. Thompson would lease it. The parties apparently believed that the two sign businesses were sufficiently different that they would not compete with one another.

The new building was completed in April 1974. Capitol Sign Co. *586 moved in pursuant to an eight-year lease by which the plaintiff obligated himself to pay eight years worth of rent over five years. Two and one-half years passed without incident; the plaintiff paid the accelerated rent and the parties interacted peaceably and exchanged work with one another. In April 1976, Mr. Thompson incorporated and changed his business name to Capitol Sign Co., Inc.

In September 1976, relations between the parties began to deteriorate. The record shows that over the next several months, Mr. Poirier harassed the plaintiff in an effort to induce him to vacate the leased premises. His activities included shutting off the plaintiffs electricity during business hours; verbally abusing the plaintiff, his employees, customers and subcontractors; taking pictures of certain customers and purposely piling snow on the leased premises.

In February 1977, Mr. Poirier caused a notice to quit to be served on his tenant. The plaintiff, in his own name and in the name of his incorporated business, filed a bill in equity praying for injunctive relief and for money damages including $9,500 in lost profits. A temporary injunction issued requiring the Poiriers to “cease and desist from any interference with the conduct of the plaintiffs business upon the leased premises and from the establishment or continuance of business relations with others.” On August 11, 1977, Mr. Thompson vacated the leased premises. A month later he amended his bill in equity to allege that Mr. Poirier, by continuing his campaign of harassment, “constructively and/or actually evicted the plaintiff from the premises.” He amended his prayer to include $17,000 in moving expenses, lost prepaid rent and attorney fees. After a trial, the Master {Robert A. Carignan, Esq.) found that the defendant “constructively evicted” the plaintiff and recommended an award to the plaintiff of $8,566.77 on the original bill and $14,251.18 on the amended bill for a total of $22,817.95. Souter, J., approved the recommendation and DiClerico, J., reserved and transferred the defendants’ exceptions.

The defendants’ first argument is that the corporate plaintiff may not maintain an action alleging that the Poiriers breached the lease because the corporate plaintiff was not a party to the lease. We reject this argument. As we have said repeatedly, this court will not disturb a trial court’s finding of fact as long as there is evidence in the record to support it. In this case Mr. Thompson testified that prior to signing the lease, he told the defendant that he intended to incorporate. Mr. Poirier denied *587 having any such conversation, but there was evidence that in October 1976, he received a letter from Mr. Thompson’s attorney requesting lessor approval of certain signs advertising Capitol Sign’s new corporate status, which Mr. Thompson hoped to display on the leased premises. Further, Mr. Poirier did not then object to the incorporation, and as late as July 1977, he accepted a rent payment check that bore plaintiff’s corporate name. These facts suggest that he had reason to anticipate the incorporation. The weighing of conflicting evidence is for the trier of fact. There was ample evidence on which the master could reasonably find that the incorporation “was anticipated by all of the parties.” The evidence supporting this finding, together with all the relevant circumstances in this case, lead us to the conclusion that the parties, at the time they signed the lease, contemplated the prospective corporate entity as a party. See Spectrum Enterprises, Inc. v. Helm Corp., 114 N.H. 773, 776, 329 A.2d 144, 147 (1974). In view of our resolution of this issue, we do not address the defendants’ argument that the corporation is not a proper assignee or sublessee and is therefore without standing to sue.

A primary basis for the plaintiff’s award was the master’s finding that the defendants’ harassment and the plaintiffs subsequent departure amounted to constructive eviction. The defendants point to evidence that Mr. Thompson investigated the possibility of relocating some eight months before he finally quit the premises and to his failure to leave promptly after the harassment began. They argue that the elements of constructive eviction are not present in this case. This argument is without merit.

Mr. Thompson’s search for a possible relocation site does not militate against his case unless the search began before the defendants’ harassment. See 52 C.J.S. Landlord & Tenant § 457 (1968). There was no evidence that it did. Nor does the plaintiff’s failure to leave promptly after the incidents began help the defendants in this instance. It is well established that a lessee who claims constructive eviction must abandon the premises within a reasonable time after his reason to do so arises. Id. Whether the lessee vacated within a reasonable time depends on the facts of the particular case. See id.; cf. Maki v. Nikula, 224 Or. 180, 355 P.2d 770 (1960); Westland Housing Corp. v. Scott, 312 Mass. 375, 44 N.E.2d 959 (1942). The master found, on sufficient evidence, that certain of the plaintiff’s customers discontinued business with the plaintiff as a result of the defendants’ actions and resumed them when the plaintiff relocated. Such interference with business *588 relations substantially deprived the tenant of the business use of the premises and was sufficient cause to support a finding of constructive eviction as long as it continued. See Friendly Finance, Inc. v. Cefalu Realty Invest., Inc., 278 So. 2d 584 (La. App. 1973); 2 R. Powell, Real Property ¶ 225[3] (1977). We uphold the finding that the plaintiff vacated the premises within a reasonable time.

The defendants also contend that the court erred in awarding damages for moving expenses. The plaintiff introduced evidence of expenses normally associated with moving a business.

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Bluebook (online)
420 A.2d 297, 120 N.H. 584, 1980 N.H. LEXIS 363, Counsel Stack Legal Research, https://law.counselstack.com/opinion/thompson-v-poirier-nh-1980.