Young v. Nelson

209 P. 515, 121 Wash. 285, 30 A.L.R. 568, 1922 Wash. LEXIS 1016
CourtWashington Supreme Court
DecidedSeptember 20, 1922
DocketNo. 17085
StatusPublished
Cited by35 cases

This text of 209 P. 515 (Young v. Nelson) is published on Counsel Stack Legal Research, covering Washington Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Young v. Nelson, 209 P. 515, 121 Wash. 285, 30 A.L.R. 568, 1922 Wash. LEXIS 1016 (Wash. 1922).

Opinion

Holcomb, J.

This is an action by respondent for specific performance of an agreement for the extension of a lease, against appellant, which resulted in a decree of specific performance as prayed.

The complaint alleged that, on December 2, 1915, a lease was entered into between appellant and Andrew Young for the entire two upper stories of a certain building in Bremerton, and for the joint use and occupancy of the basement beneath the premises, the two upper stories to be used by the lessee for hotel and rooming purposes; that the lease contained the following provision, to wit:

‘ ‘ To have and to hold the said premises for a term of five years from the first day of March, 1916, to the first [286]*286day of March, 1921, at a monthly rental sum of one hundred twenty-five ($125.00) and no/100 dollars, with an option' to the lessee herein at the expiration of this lease for an extension of this lease for a period of five (5) years thereafter at such rental as may then be agreed, upon between the lessor and the lessee.”

The complaint further alleges that respondent is the wife of Andrew Young, now deceased, holding the lease under a duly probated nonintervention will. It is alleged that Andrew Young and respondent have at all times performed all of the conditions incumbent upon them under the terms of the lease. It is further alleged that, thirty days prior to the expiration of the term stated in the lease, the respondent, intending to exercise her option to .extend the lease for a term of five years, gave notice that she wished to exercise the option contained therein, and requested appellant to consult as to what would be a reasonable rental; that appellant refused to recognize that provision of the lease, and demanded $225 rental for the month of April, 1921, which is alleged to be exorbitant and in violation of the terms of the lease; that she demanded that the lease be extended for a period of five years upon a reasonable rental, and that a reasonable rental therefor was the sum of $150 per month; that appellant refused that offer, and insisted upon $225 for the month of April, 1921, without stating terms as to the conditions of tenancy, and repudiated the terms of the lease aforesaid; that respondent had no adequate and complete remedy at law for the breach of appellant, since she was operating a hotel, depending largely upon its reputation for her income, and that any eviction on the part of appellant would injure her, and her remedy at law would be inadequate; that she was operating a hotel on the premises in accordance with the terms of the lease, and was in actual danger of eviction by appellant. She [287]*287prayed for a decree against the appellant requiring him to specifically perform the agreements of his lease in accordance with its provisions for a term of five years, at a reasonable monthly rental to be fixed by the court at $150 per month, and prayed for an injunction pendente lite restraining the defendant from disturbing her peaceful possession.

A demurrer to the complaint upon the grounds that it did not state facts sufficient to constitute a cause of action was overruled, and appellant answered, tendering issue on all of the allegations of the complaint, except that it was admitted that appellant and respondent had endeavored to mutually agree, and that he demanded $225 per month rent, and that respondent was willing to pay only $150 per month rent; that the sum of $225 per month was reasonable rental; that the parties had been unable to agree upon the rent, and that no provision was made in the lease itself for any procedure for fixing the rent in case of mutual disagreement.

Upon the trial, the court summoned a jury to advise him as to what would be a reasonable rent for the ensuing five years, and, upon hearing the evidence, the jury found that $150 per month would be a reasonable rental for the ensuing term of five years.

The trial court thereupon made findings that $150 per month would be a reasonable rental for the extended term of the lease, and that respondent was entitled to have the lease extended for five years from the first day of March, 1921, upon other terms and conditions the same as in the original lease, and entered judgment accordingly.

The errors assigned by appellant are grouped for discussion into two fundamental questions, which are the essential issues of the case: first, can the court [288]*288decree specific performance of a renewal contract where the question of the rental, by its terms, is such as the parties themselves shall fix, and cannot be made certain by means provided or contemplated by the contract itself? Second, assuming that the court has power to fix the amount of the rental, is the sum of $150 a reasonable monthly rental?

It is first asserted that the lease contained no provision by which the renewal rental could be made certain by means provided or contemplated in the lease itself, and can only be fixed by agreement of the parties. Our cases are cited to the effect that “courts of equity will not undertake to enforce the specific performance of an agreement unless its terms are such that it cannot be reasonably misunderstood. . . . The price or consideration to be paid is an essential ingredient of the contract, and, where it is neither ascertained or rendered ascertainable, the contract is void as incomplete and incapable of enforcement.” Huston v. Harrington, 58 Wash. 51, 107 Pac. 874; LeMarinel v. Bach, 114 Wash. 651, 196 Pac. 22.

Another ease cited by appellant, extensively quoted and stoutly relied upon, is that of Livingston Waterworks v. City of Livingston, 53 Mont. 1, 162 Pac. 381, L. R. A. 1917D 1074.

In the last cited case there was a provision for the renewal of a contract between the municipality and the waterworks company for supplying the city with water. The contract provided for an option by the city to purchase the waterworks at the end of twenty years. In the event the city did not elect to purchase the waterworks, the contract should be renewed. The renewal provision was in the following language: “. . . for twenty years longer upon such terms as are mutually agreed upon at that time, . . .” etc. The city re[289]*289fused to enter into a renewal contract, and the waterworks company sued it, alleging that it had spent large sums of money in the erection and maintenance of the waterworks plant, and that the city had required it to spend large sums of money in making additions and extensions to its system, and that the money was spent in reliance upon the provision requiring the city to renew the contract for twenty years additional; that appellant was willing to agree upon a fair, reasonable and just schedule of rates to form the basis of renewal, and to enter into a contract accordingly, but that the city declined and refused to make any effort to agree upon such rates, to the irreparable injury of the company. The city defended, among other grounds, upon that, that the provisions of the renewal agreement were not enforceable. The supreme court so held, and marshaled the cases for and against the proposition that, where the amount was left to be ascertained and no provision made for the method of ascertainment, the contract was so indefinite that it could not be enforced by the court.

We, however, have held to the contrary on a lease contract similar to this, in Anderson v. Frye & Bruhn, 69 Wash. 89, 124 Pac. 499.

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Bluebook (online)
209 P. 515, 121 Wash. 285, 30 A.L.R. 568, 1922 Wash. LEXIS 1016, Counsel Stack Legal Research, https://law.counselstack.com/opinion/young-v-nelson-wash-1922.