Hertzler v. Federal Equipment Co.

Citations

• 265 Pa. 449
• 109 A. 152
• 1919 Pa. LEXIS 573

Syllabus

<p>Corporations — Btoch—Purchase of sioclc — Change of salaries of officers — Contract—Breach—Option—Laches—Presumption.</p> <p>1. Where the owners of a manufacturing plant sell the same to a corporation and agree to take a part of the purchase price in the stock of the company, subject-to a stipulation that the company would immediately repurchase the same if the salaries of its officers should be increased, such owners cannot enforce the stipulation to repurchase, if it appears that one of them had actual notice of the increase of the salaries of the officers, and made no demand for the repurchase of the stock for four and one-half years thereafter.</p> <p>2. Failure to exercise an option within a reasonable time, when no time is provided for its exercise, raises a presumption of an intention to abandon the right and of a waiver to insist thereon.</p>