Hayes v. O'Brien

Citations

• 149 Ill. 403
• 23 L.R.A. 555

Syllabus

<p>1. Specific performance—whether denied for want of mutuality in optional contract. The earlier doctrine tliat the want of mutuality of obligation would render an optional contract incapable of specific enforcement, has been so modified that such agreements to convey, without any corresponding obligation or covenant to purchase, will now be specifically enforced, in equity, if made upon sufficient and valuable consideration. And so, when the agreement to convey is a part of a lease or other contract between the parties, for which the agreement to convey forms the true consideration, the want of mutuality will not avoid the contract.</p> <p>2. A lease for a term of ten years reserved to the lessor the right to sell the demised premises at any time after date, and then provided : “But no such sale of said land shall be made by said first party without first having given said second party the privilege of purchasing said land upon such terms and at the same price per acre as any other person or purchaser might have offered therefor.” The lessor made sale of the premises without notice to the lessee, who, upon learning the fact, offered to pay the price at which the lessor sold the same, and demanded of the lessor and his purchaser a conveyance of the land : Held, that the lessee did all that the law required of him, and was entitled to the specific performance of the contract to sell and convey to him on his acceptance of the option.</p> <p>3. Same—when enforced. Where the contract is otherwise valid, is fairly entered into, and is upon sufficient consideration, equity will enforce it, when there has been an acceptance of its terms by the vendee in apt time. Such a contract is a continuing obligation on the part of the lessor or party giving the option, running with the lease, which the lessee may accept, at his option, within the time limited.</p> <p>4. Contracts—rule of construction. In the construction of contracts the intention of the parties to be ascertained fr