119 Iowa 29 | Iowa | 1902
Such being the law, and there being no dispute as to the provisions of the policy in suit, and no dispute as to the terms of the lease from the railroad company to J.
Turning, for a moment to a consideration of the facts in the case, we think it clear that while a term of one year only is provided for in terms in the lease, yet a more extended period of occupancy was contemplated by the parties thereto. J. Kennedy & Co. were buyers and shippers of grain and dealers in agricultural implements, and in the lease it is provided that they shall erect on the demised premises an elevator and corncrib, and shall conduct a grain business, shipping over the line of the railway company. The rent reserved is a nominal sum, and in fact was never demanded or paid, indicating clearly that the object was to secure a shipping business, rather than a rental income. This view is further emphasized by the fact that no attention whatever was paid to the expiration of the period provided for in terms in the lease. Under such circumstances there can be no doubt but that all the provisions of the lease, its covenants and agreements, were in force and binding at least during the continuance of the tenancy of the firm executing the same. Conceding that under section 2991 of the Code a tenant holding over
Our attention has not been called to any cases presenting a state of facts similar to that we have before us. Our conclusion, however, finds support in Railway Co. v. McClure 9 N.D., 73 (81 N. W. Rep. 52 47 L. R. A. 149). There a lease containing substantially the same provisions appearing in the one before us was involved. The lease was executed by the Northern Pacific Bailroad Company, and some time before the fire that company transferred all its property to the Northern Pacific Bailway Company. The question in the case was whether or not the covenant in the lease exempting the railroad company from all damages caused by fire by its negligence was a covenant running with the land, and as such protected the assignee of the original lessor from liability. It was held that the covenant in question passed to the grantee, and invested it with the same rights thereunder which the old corporation had. In the course of its opinion the court says: “We have not been able to find an adjudication upon the question whether this particular kind of a covenant
The cause is remanded for judgment in accordance with this opinion. — Reversed. ,