Lathrop v. Clemow

Citations

• 68 Pa. Super. 116
• 1917 Pa. Super. LEXIS 81

Syllabus

<p>Mines and mining — Royalties—Contract—Coal lease — Extension of lease — New lease.</p> <p>Where an owner of all of the stock of a coal mining company which had a five years’ lease on certain coal property, agrees in writing to transfer all of the stock to purchasers in consideration of a payment to him of royalties of seven cents per ton on all coal mined under the lease, the seller of the stock will not be entitled to recover royalties after the expiration of the date of such lease, where it appears that the lessor had refused to renew the lease, that a new lease was made under different terms, and that the new lease was not intended to be an extension of the old lease. In such a case it is immaterial that the lessor had executed a paper purporting to be an agreement to extend the first lease for a further period of five years if it appears that such paper was found among the documents of the lessor, was not attached to the lease, and that it was never known to the lessee company, or the purchasers of the stock, until the seller produced it in an equity suit to compel an accounting for royalties under the second lease.</p>