Frоm the finding, these facts appear: February 25th, 1930, the defendant corporation owned real estate in New Haven, with a blacksmith shop and office building located thereon. Frank Kenna was the president of the corporation, and J. W. Harney, its agent, was authorized to procure tenants for this property. G. W. Cawley was the president of the plaintiff corpоration, and also of an allied corporation, G. W. Cawley, Incorporated. Some time prior to February 25th, 1930, Harney had been in negotiation with Cawley and endeavored, through him, tо lease the blacksmith shop to the plaintiff, and the office to the Cawley Company. As the result of these negotiations on that date, Cawley wrote a letter, (a) which was sent to and received by the defendant.
*286 March 6th, 1930, the defendant wrote a letter, (b) which was delivered tо Cawley and received by him as president of both the plaintiff and the Cawley companies. Shortly after the receipt of this letter, the plaintiff corporation began to movе its manufacturing plant into the blacksmith shop, and the Cawley Company moved its furniture into the office. The plaintiff has occupied the blacksmith shop continuously until the present and pаid rent at the rate of $45 per month. The Cawley Company has occupied the offices up to the present and paid rent at the rate of $12.50 per month. In the conduct of its business, thе plaintiff uses several large pieces of machinery and many small tools, and the expense of moving into the blacksmith shop was approximately $3,000, and occupied about six weeks. In the conduct of its business, it was necessary for the plaintiff to have a supply of steam in order to operate a steam hammer for forging. It is the only concern in the city оf New Haven operating a steam hammer for that purpose, and a large number of customers come to it directly to make forgings and repair broken tools. A large proportion *287 of its orders are for emergency jobs, and work has to be started promptly and completed as quickly as possible to enable the plaintiff to hold its trade. The nature оf the work done by the plaintiff requires the use of a steam hammer, and if steam is not delivered, the plaintiff will be unable to operate its hammer, and be obliged to go out of business or movе to another location. The plaintiff’s tools are of considerable value in the conduct of its business, but would be of little value if sold.
While the plaintiff was moving its machinery into the shop, thе defendant ran a two and one half inch steam pipe into it, which was later connected with the plaintiff’s steam hammer. Until about the middle of July, the defendant was unable to furnish steam and, оn that account, rebated to the plaintiff four months’ rent of the shop. After the middle of July, for several months, the defendant furnished steam at eighty pounds pressure, but in the fore part of Januаry, 1931, by installing a valve on its own premises, the defendant cut down the hours during which it furnished steam to two a day, from 12.00 to 2.00 p.m., and February 11th, shut off the steam altogether.
January 15th, 1931, the plaintiff gave notice in writing of its election to renew the lease. The trial court concluded that the letter of February 25th, 1930, was a proposal; that of March 5th a counter-proposal embodying, by refеrence, all the terms set forth in the letter of February 25th, except as to the size of the steam pipe, and also fixing the time for the commencement of the term; and that this countеr-proposal was accepted, and the contract completed when the plaintiff went into possession. The defendant assigns as error the conclusion of the court holding that there was a lease for a year with the right of a five-year renewal; the claim of the defendant being that, upon *288 the above facts, there was no lease; or if so, only one from month to month. Error is also assigned in certain rulings on evidence.
The contract is definite as to the premises to be let, the time when the term was to commence, the duratiоn of the term, the rent to be paid, and was, as between the parties, a valid lease of the premises.
O’Leary
v.
Skilton,
The plaintiff’s offer of February 25th, set forth in the footnote, was stated to be with the “privilege of renewing lease for five years.” January 15th, 1931, and before the expiration of the term, the plaintiff gave written notice of its election to exercise the privilege. “Whether a clause in a lease is a covenant of renewal or an agreement for an extension, depends uрon the intention of the parties to the lease, and the use of the word ‘renewal,’ although it imports the giving of a new lease like the old one
(Cunningham
v.
Pattee,
Plaintiff’s proposal to the defendant contains the phrase: “You to furnish steam for our steam hammers.” In the letter of March 5th from the defendant, it states: “We will furnish you with a two inсh steam line to point inside on the above mentioned building.” The trial court permitted Cawley, as a witness, to introduce a letter written by him on February 11th, 1930, before the first proposal, referring to the steam line, and also to testify as to conversations had with Harney in reference to that matter. This testimony was offered and received by the court for the purpose of showing the meaning of the term “furnish you with a two inch steam line” as used in the agreement, and was admissible for that purpose. “This understanding of the parties was properly considered by the trial cоurt, not for the purpose of ascertaining any unexpressed intent, but in order to determine the intent they meant to express by the phrase they used.”
Gray
v.
Greenblatt,
The testimony of Cawley that, after the рlaintiff went into possession, the defendant remitted four months’ rent because unable to furnish steam was admissible as showing the practical construction of the contract by the parties thereto. “Such evidence, in cases of doubtful construction, is strong presumptive
*290
evidence of intention of the parties that the contract should be construed in accordance with their own practical construction.”
Volk
v.
Volk Mfg. Co., Inc.,
The trial court also permitted Cawley and others, over objection, to testify as to the worth of the Maltby Company as a going cоncern, and the effect upon its business of inability to make forgings promptly because of lack of steam to work its trip-hammer. Testimony of this character was properly admitted by thе court. “When equitable relief is demanded, a considerable latitude in the presentation of evidence should be permitted commensurate with the far-reaching limits of that subject, and its proper use should be governed by basing the relief granted or denied upon the exercise of a sound discretion by the trier.”
Pope Foundation, Inc.
v.
New York, N. H. & H. R. Co.,
There is no error.
In this opinion the other judges concurred.
Notes
New Haven, Conn., February 25, 1930.
Mr. J. W. Harney,
393 Chapel Street, New Haven, Conn.
Dear Sir: Confirming our conversation of this morning, at your office, we will lease shop and office space on Chapel Street for one year, with privilege of renewing lease for five years, upon terms and conditions as follows:
We, W. G. Maltby, Incorporated, will lease blacksmith shop at Chapel Street, formerly occupied by Farrar. Rent to be $45 per month. You to run 3" steam line to point within building. You to furnish steam for our steаm hammers. We to have privilege of locating a 275 gallon oil storage tank outside of and alongside of building above ground, also of building a small lean-to at side of building as a protection for our stock.
We, the G. W. Cawley Company, Incorporated, will lease office at Chapel Street. Space to be one flight up, on comer of building, facing street and blаcksmith shop. Rent to be $12.50 per month, including light and heat. You to build partition making room approximately eighteen feet long.
Both leases to start when spaces are ready for occupancy.
Yours very truly...........
The Associated Realty Corporation New Haven, Connecticut
March 5, 1930.
C. W. Cawley and Company, Inc.,
40 Whitney Avenue, New Haven, Connecticut.
Gentlemen: Confirming your letter of February 25th, we will lease the blacksmith shop on Chapel Street formerly occupied by Farrar for monthly rent of $45 paid monthly in advance. We will furnish you with a two inch steam line to point inside on the above mentioned building.
We will also lease the office on the second floor, west side, at 401 Chapel Street to you for $12.50 per month, likewise paid in advance. We will put up necessary partitions to divide this office. Said lease to take effect at once.
Very truly yours,
The Associated Realty Corporation, Frank Kenna,
Frank Kenna, President.
FK:L