Question No. 5

Amy owned three Pennsylvania : 1) and 2) Whiteacre, which are on adjoining lots with homes on each near the Beaver River, a noted trout fishing spot, and 3) a building in nearby Big City. Amy conveyed Blackacre to Bill. The valid stated in part, “Reserving unto

Amy and all future owners of Whiteacre the right to use a dirt road on Blackacre for ingress and egress to the Beaver River.” Amy later conveyed Whiteacre to Carl, an avid fisherman, by a deed that made no mention of the right to use the dirt road on Blackacre.

After moving to Whiteacre, Carl entered into a written lease to rent his former home in Big City for $2,000 per month to Sam, an actor known for portraying Mark Twain. Three months later, a pipe in the home broke flooding the basement with raw sewage. The raw sewage caused an overpowering odor, attracted rats, and contaminated the house’s water supply. Sam constantly called and sent emails to Carl complaining about the conditions, but Carl made no repairs. Finally,

Sam notified Carl in writing, “I’m not paying any rent until you fix this mess, and I’m not leaving!”

Bill leased space in Amy’s Big City building to open a store specializing in the sale of rare books. Bill made extensive and costly repairs to a sprinkler system previously installed in the building. The sprinkler was installed in such a manner that it could not be removed without substantially damaging the leased space and the system. Bill also had display cases built with specialized glass and temperature controls to protect the rare books from direct sunlight and excessive humidity that were attached to the floor of the leased space with screws. Finally, Bill placed on display throughout the store non-affixed posters of the “jacket” covers of several of the rare books. To pay expenses for his bookstore, Bill sold Blackacre to Carl, but promised to buy Blackacre back from Carl as soon as he received a large cash bequest from his late uncle’s .

On April 1, 2021, Bill asked Sam about doing a one-hour Twain performance at the bookstore’s June 12, 2021, grand opening. Sam told Bill, “I’ll perform at your opening for $5,000. I want written confirmation that you agree to my terms.” Bill replied, “Your fee is steep. I need some time to think about it. If you give me until May 1 to decide whether to hire you to perform, I’ll pay you $500.” Sam replied, “I agree,” and Bill paid $500 to Sam.

Bill received his bequest and repurchased Blackacre from Carl. Carl’s deed reconveying

Blackacre to Bill made no mention of a right of the owner of Whiteacre to use the dirt road on Blackacre.

Bill and Carl got into an argument and Bill placed a concrete barrier across the dirt road to prevent Carl from traveling from Whiteacre to the Beaver River to fish.

On April 28, 2021, Sam texted Bill, “Sorry, my prior proposal is off the table. I’m performing elsewhere on that date.” On April 29, Sam received the following note from Bill, “I accept your terms.

Enclosed is my check for $5,000.” Sam did not appear at the opening.

1 a. What cognizable interest did Amy retain when she conveyed Blackacre to Bill?

b. Following Carl’s re-conveyance of Blackacre to Bill, does Carl have a cognizable property interest in Blackacre that would require Bill to remove the barrier preventing Carl from traveling from Whiteacre on the dirt road to get to the Beaver River to fish?

2. Carl sued Sam for unpaid rent and for of his Big City home. Would Sam be successful in defending this suit based on the theories of constructive and breach of an of ?

3. Was a valid created between Bill and Sam for Sam to perform as Mark Twain at the grand opening of Bill’s bookstore?

4. Assume for this question only that Bill timely notified Amy of his intention to close the bookstore at the end of their lease and that neither party was in default under the lease. Bill stated that he intended to remove the sprinkler system, the display cases, and the jacket cover posters before the lease expired. Amy asserted that all these items belonged to her as owner of the building and filed suit to restrain Bill from removing the items. The lease between Bill and Amy is silent on removal of these items. How should a Pennsylvania court applying common principles decide the matter?