J. & R. REALTY, INC. v. United States

• Decision Date: 30 June 1976
• Docket Number: Civ. A. No. 75-4.
• Citation: 418 F. Supp. 391
• Parties: J. & R. REALTY CO., INC. v. The UNITED STATES of America.
• Court: U.S. District Court — Eastern District of Pennsylvania

418 F. Supp. 391

J. & R. REALTY CO., INC. v. The UNITED STATES of America.

Civ. A. No. 75-4.

United States District Court, E. D. Pennsylvania.

June 30, 1976.

Ronald H. Isenberg, Philadelphia, Pa., for plaintiff.

Robert S. Forster, Jr., Asst. U. S. Atty., Philadelphia, Pa., for defendant.

OPINION

DITTER, District Judge.

This case involves the duty imposed by a lease which makes the owner responsible to keep the premises in "good repair and tenantable condition" and permits the withholding of rent if they become "unfit" for their intended use. The lessee in question is the United States which has used the property as a post office for 19 years. When the owner refused to paint the building, the Postal Service had the work done and withheld rent to obtain reimbursement. Plaintiff then brought this action to recover rent and possession. Both parties have moved for summary judgment, but for the reasons expressed herein, their motions must be refused.

In May of 1957, John and Rose DiEgidio, using a standard government form, leased to the United States premises at Levick and Revere Streets, Philadelphia, for a post office. In July of 1973, on the basis of a visual inspection and report by the superintendent of building services of the Postal Service, plaintiff¹ was advised that the premises were in need of interior and exterior painting. Some eleven years had elapsed since Mr. and Mrs. DiEgidio painted both the interior and exterior of the building. A similar effort had been undertaken in 1960. J. & R. refused to do the work, citing the absence of any precise obligation in the lease. Defendant, maintaining its position that it was the long-standing policy of the Postal Service to regard painting as part of the lessor's overall maintenance responsibility, issued solicitations for bidders to do the requested work after giving due notice to plaintiff that this action would be taken. Following completion of the contract, defendant withheld payment of $5200., the amount of the low and accepted bid. Plaintiff thereafter instituted this proceeding seeking to recover the unpaid monthly rentals, a declaration that defendant's rights under the lease are terminated, and an order directing the Postal Service to vacate the premises.

At the outset, it is plain that as an action for determination of the rights under a lease to which the United States is party, this case is governed by federal rather than local law, American Houses v. Schneider, 211 F.2d 881, 882-83 (3d Cir. 1954); Girard Trust Co. v. United States, 161 F.2d 159, 161 (3d Cir. 1947); Girard Trust Co. v. United States, 149 F.2d 872, 874 (3d Cir. 1945), although, in the absence of precedent, the court may look to the general law of landlord and tenant for guidance. Patton v. United States, 139 F.Supp. 279, 283 (W.D. Pa.1956).

Here there are two paragraphs of the lease which are important:

7. The Lessor shall . . . maintain the said premises in good repair and tenantable condition during the continuance of this lease, except in case of damage arising from the act or the negligence of the Government's agents or employees. For the purpose of maintaining the premises, the Lessor reserves the right at reasonable times to enter the premises and to make any necessary repairs to the building emphasis added.

10. Whenever any building or part of a building becomes unfit for use as a post office, no rent shall be paid until the same shall be put in a satisfactory condition by the owner thereof for occupation as a post office, or the lease may be cancelled, at the option of the Postmaster General emphasis added.

Good repair was held, in Hampers v. Darling, 194 Pa.Super. 59, 62, 166 A.2d 308, 310 (1960), through the phrase "maintain and keep in good repair," to imply "the preservation of the status quo, or a restoration approximately to the original condition, natural wear and tear excepted." In United States v. 15.3 Acres of Land, etc., 154 F.Supp. 770, 781 (M.D.Pa.1957), the court held that where a lessee had covenanted to make "necessary" repairs, it was required to make such repairs as were necessary for the use of the premises and the purpose for which they were leased.² In the instant case, the lease does not leave any doubt as to what that purpose is—or the nature of what is required—for it specifically states that the owner is to keep (and if necessary restore) the building so it will be in a "satisfactory condition" for "use as a post office."

If a building is to be in a satisfactory condition for use as a post office, it must not only have a sound roof and a floor that will not collapse—it must be orderly and clean, which means that from time to time it must be painted. The post office is the only contact many people have with the United States government. An attractive, well-kept building conveys a message, subjective though it may be, of governmental efficiency. It also provides a suitable working environment which spurs employee morale and aids in the efficient execution of Postal Service purposes.

On two prior occasions, 1960 and 1962, the building was painted by the owners, the original parties to the lease. This fact, plus the government's assertion that it is the Postal Service's policy to regard painting as the lessor's obligation, is indicative of the parties' intent when they entered into this agreement. There is "a clearly discernible tendency on the part of courts to cast aside technicalities in the interpretation of leases and to concentrate their attention, as in the case of other contracts, on the intention of the parties . . ." 6 Williston on Contracts § 890A (Jaeger 3d ed. 1962). The particular paragraph in a lease embodying a covenant to repair is controlling in determining the obligation between the parties, but in construing the language of such a paragraph, the court will ascertain the intent of the parties from the four corners of the instrument and from the surrounding circumstances. Patton, supra, 139 F.Supp. at 283-4. Any obligation which the agreement imposed on the original lessor is...