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Contracts Keyed to Jimenez
Peevyhouse v. Garland Coal & Mining Company
Facts
Willy and Lucille Peevyhouse (plaintiffs) possessed a farm containing coal deposits. In November 1954, the Peevyhouses rented their farm to Garland Coal Mining Co. (Laurel) (defendant) for coal digging purposes for 5 years. As a major aspect of the terms of their lease, Garland consented to perform certain restorative and remedial actions to the farm property toward the end of their lease. The cost of the work to Garland was evaluated at roughly $29,000. Garland initiated strip mining of the property, however, failed to perform the remedial work after the lease. The Peevyhouses sued looking for damages of $25,000. At trial, the judge held for the Peevyhouses and guided the jury to grant damages by considering the cost of performance of the work consented to by Garland, and additionally the aggregate “diminution in value” of the Peevyhouses’ property because of Garland’s inability to play out the restorative work. The jury granted the Peevyhouses $5,000 in damages; a sum more than the value of the farm even if remedial work has been done. The parties appealed.
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ProfessorMelissa A. Hale
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11m 30s