Taylor v. Waters
Taylor v. Waters
Opinion of the Court
Landlord and tenant entered into a five year lease for commercial property on July 1, 1979, whereby the tenant was to pay $325 rent monthly. The lease also provided for a review and adjustment of rent each July, using an agreed-upon formula. From 1979 until March 30, 1984 the landlord sent the tenant a monthly bill for $325, which the tenant routinely paid. In March 1984 the landlord sent the tenant a bill for $3,335.30, representing the sum due after all of the annual adjustments were aggregated. The bill, which is not in dispute, was later amended to demand $4,235.40.
The tenant refused to pay the adjustment demand, while continuing to pay the $325 monthly rent for the term of the lease, only three months away, June 30, 1984, and the landlord brought suit. The tenant denied the debt and affirmatively pleaded estoppel, among other defenses. Both parties moved for a summary judgment, and from the granting of the landlord's summary judgment motion the tenant appeals.
We begin our analysis of this case by determining whether the landlord's summary judgment was properly granted. Under Alabama's scintilla rule a summary judgment is properly granted only when it appears from the pleadings and other duly filed evidence of record that there is no genuine issue of material fact to be determined and the moving party is entitled to the relief sought as a matter of law. Ledbetter v. Darwin Dobbs Co.,
The tenant pleaded equitable estoppel as an affirmative defense. The elements of equitable estoppel, sometimes referred to as equitable estoppel in pais, are present if the landlord communicated something to the tenant in a misleading fashion by words, conduct, or silence; the tenant relied on that communication; and the tenant would suffer harm if the landlord were allowed to assert a claim which is inconsistent with his earlier conduct. See General Electric Credit Corp. v. StricklandDivision,
Also, the issue of estoppel is generally considered to be for the fact finder unless only one reasonable inference can be drawn from the evidence. Auto-Plaza, Inc. v. Central Bank,
We find more than one reasonable inference can be drawn from the facts in the case at bar, giving rise to the need for a factual determination of the estoppel issue. For example, the fact that the landlord, who drafted the lease and thus must have it construed against him, Gulf Fishing Boating Club, Inc. v.Bender,
The landlord argues in brief that the lease contained a nonwaiver clause, which precludes the application of the estoppel defense. However, the existence of a nonwaiver provision in the lease does not preclude the possibility that the landlord had in fact chosen to never collect the aggregate adjustment in whole or in part. See Putman, supra.
Based on the above conclusions, we hold that the summary judgment was improperly granted.
We note that the trial court in its judgment relies on Mercedev. Mercede Park Italian Restaurant, Inc.,
REVERSED AND REMANDED.
WRIGHT, P.J., and HOLMES, J., concur.
Addendum
In his application for rehearing the landlord contends that we erred in reversing the trial court's award-to him of a summary judgment. The reason asserted for our error is that there were cross-motions for summary judgment alleging that there was no genuine issue of material fact and, therefore, the court was at liberty to grant summary judgment to him.
In our original opinion we began our analysis of the case by determining whether the landlord's summary judgment was properly granted. We noted that a summary judgment is properly granted only when it appears from the pleadings and other duly filed evidence of record that there is no genuine issue of material fact to be *Page 444
determined and the moving party is entitled to the relief sought as a matter of law. Ledbetter v. Darwin Dobbs Co.,
A party is not estopped, as suggested by the landlord, by the mere filing of his motion for summary judgment from later asserting that there are genuine issues of fact. Schlytter v.Baker,
Generally, the existence of estoppel is a mixed question of law and fact.
"Unless only one reasonable inference can be drawn from the evidence, estoppel is a question for the triers of the facts, the jury or the trial court. On the other hand, if the facts are undisputed and only one reasonable inference in such respect can be drawn from the evidence, the question whether an estoppel is established is one of law for the court."
28 Am.Jur.2d Estoppel and Waiver ยง 149 (1966) (footnotes omitted), quoted in Humphrey v. Boschung,
The parties disagree as to inferences to be drawn from the facts, such as the landlord's intentions, and whether he waived his right to collect the adjusted rent. See S.J. Groves SonsCo. v. Ohio Turnpike Commission,
We are not unmindful of the fact that neither the landlord nor the tenant requested a jury trial and that the trial court will ultimately resolve the dispute. This does not change our conclusion. Where reasonable men might reach different conclusions on the evidence, summary judgment should be denied and the case must be returned to the trier of fact, in this case the trial court. American Manufacturers Mutual Insurance Co. v.American Broadcasting โ Paramount Theatres, Inc.,
We have concluded that the trial court's grant of summary judgment was improper.
OPINION EXTENDED.
APPLICATION FOR REHEARING OVERRULED.
WRIGHT, P.J., and HOLMES, J., concur.
Reference
- Full Case Name
- Don Taylor v. N.H. Waters, Jr., and Jackson Insurance Agency.
- Cited By
- 17 cases
- Status
- Published