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INDIG v. STERN. (05/23/61)

May 23, 1961

INDIG, APPELLANT,
v.
STERN.



Appeals, Nos. 35 and 36, Jan. T., 1961, from order of Court of Common Pleas of Lehigh County, Sept. T., 1959, No. 367, in case of Mihai Indig et al. v. Richard Stern. Order affirmed.

COUNSEL

Harold Caplan, for appellants.

Wallace C. Worth, Jr., with him Webster, Cutshall & Worth, for appellee.

Before Jones, C.j., Bell, Musmanno, Jones, Cohen, Bok and Eagen, JJ.

Author: Jones

[ 404 Pa. Page 13]

OPINION BY MR. JUSTICE BENJAMIN R. JONES.

Prior to August 1, 1956, Mihai Indig and Richard S. Mathes [Indig-Mathes], co-partners trading as Table Supply Market, operated a market selling, at retail, meat, produce and groceries. The market premises - located at 1215-1239 South 4th Street, Allentown - were leased by Indig-Mathes from Joseph and Frank Geseck, the owners, under a one year lease, dated January 23rd, 1956 and executed February 1, 1956, at a $300 monthly rental.

That lease provided, inter alia: "[Indig-Mathes] is herewith given the right or option to renew this lease for a further or additional period or term of FOUR YEARS... To Have and to Hold the same unto [Indig-Mathes] for the term of ONE YEAR commencing the 1st day of February, A.D. Nineteen Hundred and fifty-six [1956], YIELDING and PAYING therefor THREE HUNDRED DOLLARS and 00/100 ($300.00) Dollars per month: payable in

[ 404 Pa. Page 14]

    advance. A lawful continuance of the tenancy beyond said term shall be deemed a renewal for the further term of ONE YEAR to end at the expiration thereof without further notice. And every further lawful continuance shall be deemed a further renewal for a like term, to end in like manner. And every renewal or holding over shall be subject to the provisions of this indenture."

On July 24, 1956, Indig-Mathes entered into a sale agreement with Richard Stern [Stern]: under this agreement Stern purchased the fixtures in the grocery and produce department for $4500 and the stock and merchandise in that department at their inventory prices as of July 31, 1956. That agreement was fully executed.

Paragraph 1 of that agreement provided: "... [Indig-Mathes] will sublease to... [Stern] all that portion of the storeroom to the north of the present meatmarket known as 1217 So. Fourth Street, Allentown, Penna. for the purpose of engaging in the produce and grocery business. The term to extend to the end of the present lease or any renewal thereof, at a rental of $150.00 per month." That agreement, which became effective August 1, 1956, contained provisions concerning the use of the name "Table Supply Grocery and Produce", a $25 weekly contribution for advertisement and radio, hours of operation, limitation of Stern's right to sell or handle meats, pickles and olives in quart or more containers, and payment by Stern of one-half the water and heating bill for the entire premises.

Indig-Mathes then entered into a sublease with Stern dated July 31, 1956 which provided, inter alia: "[Stern] shall have the privilege of renewing this lease as long as [Indig-Mathes] procure renewals from the Owner of the premises. TO HAVE and to ...


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