McKibbin v. Peters

Citations

• 185 Pa. 518
• 40 A. 288
• 1898 Pa. LEXIS 745

Syllabus

<p>Contract — Building contract — Sale of ground — Tender of redemption money.</p> <p>A entered into a building contract whereby he agreed to convey certain land to B, reserving to himself ground rents, and, in order to assist B in erecting buildings on the land, he agreed to advance certain sums of money from time to time as the buildings progressed. The redemption value of the ground rents was made equal to the value of the land and the advances. B’s rights under the contract became vested in other parties who, in order to extinguish the ground rents, tendered to A an amount which was obtained by deducting interest on the advances. A had paid all the advances when demanded, but there were certain advances still due which had not been demanded. A refused the tender and claimed an amount which did not allow for the advances still unpaid. Held, (1) that the transaction under the building agreement constituted a sale of the land; (2) that as the advance payments were to be made at a future time, and as all had been paid when demanded, no interest was chargeable against A; (8) that on a bill in equity to enforce the extinguishment of the ground rent A should pay the costs, inasmuch as he had been in fault in making an excessive demand.</p>