Smith v. Peoples Natural Gas Co.

Citations

• 257 Pa. 396
• 101 A. 739
• 1917 Pa. LEXIS 751

Syllabus

<p>Leases — Oil ■and gas lease — Nonpayment of rent — Forfeiture— Bill in equity — Dismissal.</p> <p>1. The usual rule is that a lease must state the condition upon which a forfeiture can be declared or no forfeiture can be declared.</p> <p>2. Although courts of equity will not in general relieve against a forfeiture, unless it be in a case of nonpayment of rent, where an exact and just compensation can be made by decreeing to the landlord the arrears of his rent with interest and costs, yet they never lend their assistance in the enforcement of one, but leave the parties to their legal remedies.</p> <p>3. The lessor of an oil and gas lease received a stipulated quarterly rental for a period of ten years; the lessee had not entered upon or explored the premises as required by the lease. The lessee tendered the rent due on September 5, 1912, but his check wasi returned with a letter stating that the lessor did not care to continue the lease. The rental for each quarter was thereafter tendered until June 4,1913, but the rental then due was not tendered until June 16th when it was refused. Two years thereafter the lessor brought a bill in equity alleging that the lessee’s failure to render the rental due June 4, 1913, worked a forfeiture of the lease and prayed for a decree accordingly. Held, the lower court did not err in dismissing the bill.</p>