Winslow v. Baltimore & Ohio Railroad

188 U.S. 646, 23 S. Ct. 443, 47 L. Ed. 635, 1903 U.S. LEXIS 1310
CourtSupreme Court of the United States
DecidedFebruary 23, 1903
Docket125
StatusPublished
Cited by54 cases

This text of 188 U.S. 646 (Winslow v. Baltimore & Ohio Railroad) is published on Counsel Stack Legal Research, covering Supreme Court of the United States primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Winslow v. Baltimore & Ohio Railroad, 188 U.S. 646, 23 S. Ct. 443, 47 L. Ed. 635, 1903 U.S. LEXIS 1310 (1903).

Opinion

Mb.' Justice Peckham,

after making the foregoing statement of facts, delivered the opinion of the court.

It is quite plain that a lease containing a covenant to renew at its expiration with similar covenants, terms and conditions contained in the original lease is fully-carried out by one renewal without the insertion of another covenant to renew. Otherwise a perpetuity is provided for. Piggot v. Mason, (1829) 1 Paige’s Ch. 412; Carr v. Ellison, (1838) 20 Wend. 178; *655 Syms v. Mayor, (1887) 105 N. Y. 153; Cunningham v. Pattee, (1868) 99 Massachusetts, 248; Taylor’s Landlord & Tenant, 8th ed. §§ 333, 334.

From the ordinary covenant to renew, a perpetuity will not be regarded as created. There must be some peculiar and plain language before it will be assumed that the parties intended to create it.

There is no question of the validity of the lease of 1888. It was for five years from the first of August of the year 1887, with a covenant of renewal, and that covenant would have been satisfied by giving a lease in 1892 for five years, up to August, 1897, without any covenant therein for a further renewal. In fact, however, the lease was not legally renewed in 1892, because the paper of that year was signed by one trustee only. In our opinion his signature did not make a valid lease. It required the signatures of all the- trustees. A deed of land executed by one trustee does not convey his share as in the case of ordinary joint tenants. So where a deed of land was executed by two out of three trustees, the burden is upon the purchaser to prove the third trustee was dead. 1 Perry on Trusts, (2d ed.), sec. 411; 2 Perry on Trusts, secs. 499, 502; 2 Story Eq. Juris. (12th ed.) sec. 1280; Brennan v. Willson, 71 N. Y. 502-507.

The authorities cited by the counsel for the company, to the effect that one of several trustees may, when so authorized by his associates, act with regard to the execution of some portions of the trust, as their agent, and that when not previously so authorized a subsequent ratification of his act by his associates may bind them all, do not embrace the facts in this case. There is no evidence of any authority to one trustee to sign a lease. The granting of a lease was an important and material act in the way of carrying out the trust under the will, requiring an exercise of the judgment and discretion of all the trustees. It was therefore necessary for them all to act in order to make a valid instrument.

That one of several trustees can be entrusted by his associates with the transaction of the business x>f the trust may be, under certain circumstances, conceded, but those circumstances will not justify the doing of an act by one trustee on *656 his own responsibility which is of a nature to require the de- > liberate discretion and j udgment of all the'trustees. ’ ;In the case of a-lease bf-property, such üs"is presented herein; the signatures of all are necessary to the validity of the paper.

The case cited of Insurance Company v. Chase, 5 Wall. 509, relates ot an usurance effected bt one of several trustees, and the question was whether the poslicy covered the individual interest of the person taking out the insurance or his interest as trustee; if the former, it was void because he had no interest as an individual, and the policy was therefore one in the nature of wager. The court in the course of the opinion remarked:

"It is true, that in the administration of the trust, where there is more than one trustee, all must concur, but the entire body can direct one of thier number to transact business, which it may be inconvenient for the others to perform, and the acts of the one thus authorized, are the acts of all, and binding on all. The trustee thus acting is to be considered the agent of all the trusteesm and not as an individual trustee. If, within the scope of his agenct, he procures an insurance, it is for the other trustees, and not as an individual trsutee. Id, within authority, sitll it is a valid contract, which the underwriter cannot dispute, if his co-trustees subsequently ratify it. In fact, so liberal is the rule on this subject, that where a part owner of property effects an insurance for himself and others, without previous authority, the act is sufficiently ratified, where suit is brought on the policy in their names."

The facts in this casé do not bring if "within the principle mentioned, and-it’ is clear that to’ rénder thé léase originality valid it must -have been sighed by ail the trustees: 'Without it the instrument as a lease for five yeárs was void under the statute ofiirauds: Comp. Stat. D. C. 231, sec. 4.

It is Contended that the act of one of the trustees'in signing the leasé'was subsequently ratified by the other by a recognition of' its existence by- long continued silence,'if not by ah express ratification. But an express ratification would consist Of the signature of the Other trusted to thé* paper, and of that there is no'-préténse.' -A ratification of an invalid instrument of this nature-by- recognition, we do not understand. The instrument *657 was void under the. statute of frauds, because of the lack of those signatures which could alone render it valid as a lease ior five years. Recognition could not take..the,place of the absent signatured Whether the conduct of the trustees, by qf Mrs. Pff-terson,amóurited, to such a'part performance of,an. invalid contract as would take the, place of the otherwise necessary signatures is . another question ., It is . difficult to see hpw .there could be any technical ratification of this instrument without a signing thereof by the'other trustee.

' But assuming that something in the 'nature of a. ratification might be based upon subsequent recognition, yet such recognition or ratification must be shown to. have, been founded upon a full knowledge of all the facts. There, is n.o evidence of that kind in the case ; none that .the other trustee even knew of ..the existence either of the written paper of- 1892 or that it. contained a covenant to rene w at. all for .any .time,. ..The .possession by .the company and the payment of rent .were provided for. by the'covenant to renew contained in the. lease of 1-888, ajad hencp .there wás a justification , for that possession and for. the: payment'of the money, which-was entirely,,compatible, with the nón-éxisteiicé of any written lease from 1892, prof any covenant to.a^ain.renew for five years from., August 1, 1897. This possession and payment cannot therefore be use(d as a basis,for the presumption of knowledge .op ,the part of .the . trustee of. the existence of the so-called lease of 18.9,2 or of. the covenant con: táihed therein'. ' ' , .

• Regarding the asserted part performance of the alleged contract Of léásein 1892, or of the covenant contained in that'lease, we think there was none such as to justify the contention that the covenant to renew in 1897 for five years was thereby sp far rendered valid as to call for its recognition and enforcement. In this case there was reason, as we have said, without reference to any assumed part performance of, and.

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Bluebook (online)
188 U.S. 646, 23 S. Ct. 443, 47 L. Ed. 635, 1903 U.S. LEXIS 1310, Counsel Stack Legal Research, https://law.counselstack.com/opinion/winslow-v-baltimore-ohio-railroad-scotus-1903.