Hall v. Haines

Citations

• 43 Pa. Super. 213
• 1910 Pa. Super. LEXIS 33

Syllabus

<p>Lease — Mines and mining — Lease of slate land — Royalty—Covenant running with land — Assignment of lease — Fraud—Legal fraud. ■</p> <p>Where a lessee of slate land assigns all his right, title and interest in the lease to another, and the assignee agrees to pay in addition to the royalty due the lessor under the lease, two per cent, on the product to the lessee, his heirs or sublessees, “so long as the said indenture of lease shall remain in force and effect,” and the assignee subsequently notifies the lessor that he has lost money and cannot continue operations, and the lessor executes a new lease directly to the assignee at a reduced royalty, the original lessee after the abrogation of the first lease is no longer entitled to two per cent of the product.. In such a case the covenant to pay the two per cent is a personal one, and even if it ran with the land it ran no longer than the continuance of'the first lease. The action of the assignee in securing a new lease was not, under the circumstances, a legal fraud upon the original lessee.</p>