Appeal, No. 137, Jan. T., 1950, from decree of Court of Common Pleas of Lancaster County, in Equity, Docket No. 9, page 426, in case of Lancaster Malleable Castings Co. v. Jerome S. Dunie. Decree affirmed.
Morris Wolf, with him Abraham L. Freedman, Alexander T. Stein and Wolf, Block, Schorr & Solis-Cohen, for appellant.
F. Lyman Windolph, with him Martin M. Harnish, for appellee.
Before Drew, C.j., Stern, Stearne, Jones and Bell, JJ.
OPINION BY MR. JUSTICE JONES
This case involves the construction of a provision in a written lease, conferring on the lessee "the first option and privilege" of purchasing the leased property "at any time" upon to within six months of the expiration of the term of the lease at a specified price with a certain condition as to the lessor's receipt of a bona fide third-party
offer for the property at the option price or more. The lease was for a term of five years from December 1, 1945.
The option provision, in its entirety, reads as follows:
"8. Tenant shall have the first option and privilege of purchasing leased premises at any time before June 1, 1950, at the price of fifteen thousand dollars ($15,000.00), under the following terms and conditions:
"If at any time prior to June 1, 1950 Landlord receives a bonafide offer of fifteen thousand dollars ($15,000.00) or more for said leased premises, from any person of corporation other than Tenant, Landlord shall give notice in writing to Tenant of said offer, and said Tenant shall have the privilege, at any time within sixty days of time of receiving said written notice, of purchasing leased property for fifteen thousand dollars ($15,000.00); provided, however, that if Tenant should refuse to accept and purchase property for fifteen thousand dollars ($15,000.00), and for any reason whatsoever sale to other party should not be consummated, then and in that event the option to Tenant, as herein agreed upon, shall continue, in the same manner as if no offer had been made, until June 1, 1950. It is expressly agreed and understood between the parties hereto that if said property should be sold as aforesaid to any person or corporation other than Tenant, during the term of this lease, that the said sale shall in no way affect this lease and any sale made must be made subject to the terms of this lease, and the lease shall continue for the full term as herein agreed upon."
On October 20, 1948, the lessee notified the lessor in writing of its election to exercise the option on November 1, 1948. The lessor responded on October 26, 1948, also in writing, refusing to convey the property to the lessee under the option. The lessee thereupon ...