Los Angeles Land & Water Co. v. Consumers Rock & Gravel Co.

This action for declaratory relief was instituted by plaintiff, as lessor of certain properties situate in Los Angeles County, against the present lessee, to secure the construction of one clause in the written lease entered into between the plaintiff and defendant’s predecessor in interest. The clause in question reads as follows:

The controversy here involved turns upon the proper construction of the italicized portion of the above clause. The parties are agreed as to the effect of the clause except in one situation, viz., where both the assessed valuation and the rate of tax have increased over these existing in 1925. The trial court held that by the words "any increase in taxes on the lands . . . caused by an increase in the assessed value of such lands in the future” over and above the assessed value in 1925, the tenant agreed to pay only *79 such increase “caused” by an “increased valuation”, and did not agree to pay any increase in the tax caused by an increase in the rate. The conclusion of the trial court on this point reads as follows:

It is elementary that, in the absence of an agreement, the duty to pay all state, municipal and county taxes and assessments, which…