Day v. Central Trust & Savings Co.

Citations

• 62 Pa. Super. 97
• 1916 Pa. Super. LEXIS 363

Syllabus

<p>Guaranty — Principal and guarantor — Conveyance of building— Insufficient tender — Damages.</p> <p>Where a trust company for a consideration paid to it guarantees to a subcontractor in a building operation, that a house which he was to receive from the contractor in part payment for work done, shall be conveyed to him subject to two mortgages particularly described, and “subject only as to above mortgages and building restrictions,” the trust company does not fulfill its guaranty by tendering a conveyance of the house, when it is not able to give possession of the premises because of a lease thereof to a third party; nor is the tender made good by an offer to assign the lease to the subcontractor.</p> <p>In such a ease the trust company is liable for the loss sustained by the nondelivery of the house, which is not its value as fixed by the subcontractor and the contractor in a contract to which the trust company was not a party, but what the house was worth at the time it should have been delivered, and what its possession would have been worth to the subcontractor less the burdens incident to ownership, between the date it should have been delivered and the date of trial.</p>