Noroton Heights Shopping Center, Inc. v. Phil's Grill, LLC ( 2021 )


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    NOROTON HEIGHTS SHOPPING CENTER, INC. v.
    PHIL’S GRILL, LLC
    (AC 44042)
    Prescott, Moll and Lavery, Js.
    Syllabus
    The plaintiff landlord brought a summary process action seeking to gain
    possession of certain property in a shopping center occupied by the
    defendant tenant pursuant to the parties’ commercial lease. The lease
    contained a relocation clause, which provided the plaintiff with the
    ability to require the defendant to vacate the property upon the offer
    of reasonably similar substitute premises, and to terminate the lease if
    the defendant refused the substitute location, should the plaintiff elect
    to redevelop the property. The relocation clause further provided that
    the plaintiff would be responsible for furnishing the substitute premises
    and that the defendant would be responsible for performing work in
    the substitute premises to prepare it for prompt occupancy. After the
    planning and zoning commission approved the plaintiff’s plan for rede-
    velopment of the shopping center, the plaintiff sent a substitution notice
    to the defendant, including plans showing the proposed substitute prem-
    ises, which had not yet been built. The defendant did not receive this
    notice and did not become aware of it until more than one year later,
    at which point the plaintiff informed the defendant that it had waived
    its relocation rights by not responding to the substitution notice. There-
    after, the plaintiff served the defendant with a notice to quit and filed
    the summary process action. The trial court found that the defendant
    had refused to negotiate with the plaintiff and violated the express
    language of the lease by refusing to act in good faith with the plaintiff’s
    relocation plan, and it rendered a judgment of immediate possession for
    the plaintiff. On appeal, the defendant claimed that the court improperly
    interpreted the lease’s relocation clause. Held that the trial court’s find-
    ing that the defendant breached the lease by violating the terms of the
    relocation clause was clearly erroneous: the language of the relocation
    clause was clear and unambiguous and provided that the plaintiff was
    permitted to terminate the lease pursuant to the relocation clause only
    if the defendant refused to relocate to the substitute premises after
    receiving valid notice from the plaintiff, and no language in the relocation
    clause required the defendant to negotiate the terms of relocation or
    to accept or to reject, in writing, proposed substitute premises before
    it was built; moreover, the relocation clause implicitly provided that
    the substitute premises was required to be in existence as a condition
    precedent to the plaintiff’s ability to give the defendant a valid notice
    of substitution, as an interpretation to the contrary would yield absurd
    results because the defendant could be required to quit possession of
    the property and close its business for an indefinite period of time while
    the substitute premises was constructed and waive its ability to seek
    damages from the plaintiff for lost profits during that period, which
    contradicted the clear terms of an amendment to the lease providing
    that the plaintiff would reasonably cooperate with the defendant and,
    in good faith, minimize any material or adverse impact of its redevelop-
    ment on the conduct of the defendant’s business; furthermore, the notice
    of substitution that the plaintiff provided to the defendant was not
    valid, as it was undisputed that the substitute premises had not been
    constructed at the time that the notice of substitution was issued, thus,
    a condition precedent to issuing a valid notice of substitution was not
    fulfilled, and the defendant’s duty to perform under the relocation clause
    was never triggered.
    Argued May 10—officially released September 7, 2021
    Procedural History
    Summary process action, brought to the Superior
    Court in the judicial district of Stamford-Norwalk,
    Housing Session at Norwalk, and tried to the court,
    Spader, J.; judgment for the plaintiff, from which the
    defendant appealed to this court. Reversed; judgment
    directed.
    Scott C. DeLaura, for the appellant (defendant).
    Abram Heisler, for the appellee (plaintiff).
    Opinion
    LAVERY, J. In this summary process action, the
    defendant tenant, Phil’s Grill, LLC, appeals from the
    trial court’s judgment of possession rendered in favor
    of the plaintiff landlord, Noroton Heights Shopping Cen-
    ter, Inc. On appeal, the defendant claims that the trial
    court was incorrect in finding that the defendant vio-
    lated the relocation clause of a commercial lease exe-
    cuted by the parties. We agree with the defendant and,
    accordingly, reverse the court’s judgment of immediate
    possession in favor of the plaintiff.
    The following facts and procedural history are rele-
    vant to this appeal. The plaintiff is the owner of Noroton
    Heights Shopping Center (shopping center) in Darien.
    On November 12, 2010, the plaintiff entered into a com-
    mercial lease with the defendant for retail space
    (demised premises) located within the shopping center.
    The lease was for an initial term of five years, commenc-
    ing on October 1, 2010, and continuing through Septem-
    ber 30, 2015, and contained three renewal options. At
    the time the lease was entered into, the plaintiff was
    contemplating the redevelopment of the shopping cen-
    ter. As a result, the lease contained a relocation clause.
    Subsection A of the relocation clause provides in rele-
    vant part that ‘‘[t]he Landlord may, at its option, before
    or after the Commencement Date, and during any
    option renewal period pursuant to Section 40 hereof,
    elect by notice to the Tenant to require the Tenant to
    vacate and surrender the Demised Premises, and to
    substitute for the Demised Premises other reasonably
    similar space elsewhere in the Shopping Center (the
    ‘Substitute Premises’) designated by the Landlord (pro-
    vided that the Substitute Premises contains at least the
    same square foot area as the Demised Premises) and
    to move the Tenant to the Substitute Space. Landlord’s
    notice shall be accompanied by a plan of the Substitute
    Premises, which such notice shall set forth the square
    foot area of the Substitute Premises. The Tenant shall
    vacate and surrender the Demised Premises and shall
    occupy the Substitute Premises promptly (and in any
    event not later than fifteen [15] days after the Landlord
    has substantially completed any work to be performed
    in the Substitute Premises pursuant to [subsection] B
    hereof). . . . Should the Tenant refuse to relocate to
    the Substitute Space, the Landlord may, at its option,
    by notice to the Tenant, elect to terminate this Lease,
    which such termination shall be effective thirty (30)
    days after the date of such termination notice.’’
    Subsection B of the relocation clause further provides
    in relevant part that ‘‘the Landlord shall, at the Land-
    lord’s expense, do the following, (i) furnish and install
    in the Substitute Premises fixtures, improvements and
    appurtenances at least equal in kind and quality to those
    contained in the Demised Premises at the time such
    notice of substitution is given by the Landlord . . . .
    The Tenant agrees to cooperate with the Landlord so
    as to facilitate the completion by the Landlord of its
    obligations under this Section and the prompt surrender
    of the Demised Premises, and further agrees to
    promptly perform in the Substitute Premises any work
    to be performed therein by the Tenant to prepare the
    Substitute Premises for the Tenant’s occupancy.’’
    Thereafter, the defendant opened a restaurant at the
    demised premises. On February 29, 2016, the parties
    renewed the lease and extended it through September
    30, 2020. The first amendment to indenture of lease
    further referenced the possible redevelopment of the
    shopping center. Section 6 of the amendment, titled
    ‘‘Shopping Center Redevelopment,’’ provides in rele-
    vant part that ‘‘Tenant acknowledges that Landlord
    intends to redevelop the Noroton Heights Shopping
    Center (the ‘Shopping Center’), in which the Rental
    Premises (as defined in the Lease) are located. Without
    limiting Landlord’s relocation right set forth in Section
    39 of the Lease or Landlord’s rights or ability to perform
    such redevelopment in general, Landlord agrees to rea-
    sonably cooperate with Tenant in good faith to the
    extent reasonably practical during any redevelopment
    of the Shopping Center to minimize any material and
    adverse impact of such redevelopment on the conduct
    of Tenant’s business at the Rental Premises during the
    hours when the restaurant operated by Tenant is cus-
    tomarily open in the ordinary course of business . . . .
    In the event Tenant’s business is materially and
    adversely impacted by Landlord’s redevelopment activi-
    ties at the Shopping Center, the parties agree to mutu-
    ally explore alternative avenues of reducing such mate-
    rial and adverse impact to the extent feasible, and, if
    not feasible or commercially prudent under the then-
    prevailing circumstances, Tenant shall have the right,
    as its sole and exclusive remedy, to terminate the Lease
    upon ten (10) business days’ prior written notice to
    Landlord. Tenant shall not be entitled under such cir-
    cumstances, and hereby waives, all claims against Land-
    lord for any compensation or loss of use of the Rental
    Premises occasioned by such redevelopment activi-
    ties.’’ (Emphasis omitted.) Apart from Section 6, the
    amendment to the lease did not further address the
    relocation clause and provided that the lease, ‘‘as
    amended by this Amendment, will continue in full force
    and effect in accordance with its terms.’’
    In 2017, the plaintiff obtained approval from the Plan-
    ning and Zoning Commission of the Town of Darien
    (zoning commission) for the phased redevelopment of
    the shopping center. Pursuant to the phased plan, the
    plaintiff would redevelop the shopping center by razing
    a building, building a new building in its place, moving
    an existing tenant into the new building, and then razing
    the building that the tenant previously had occupied.
    In December, 2017, after the phased plan was approved,
    representatives for the plaintiff met with representa-
    tives for the defendant to discuss potential substitute
    premises. During the meeting, the defendant expressed
    interest in one of the proposed substitute premises and
    indicated to the plaintiff that it would be willing to
    move into that spot.
    On April 4, 2018, the plaintiff sent a letter to James
    Calcagnini, the sole member of the defendant, regarding
    the proposed substitute premises (notice of substitu-
    tion). The letter served ‘‘as formal notice to you of
    Landlord’s election to require you to vacate and surren-
    der your current leased space and the substitution of
    other reasonably similar space in the redeveloped Shop-
    ping Center as your new leased premises.’’ Attached to
    the notice of substitution were two plans showing the
    location of the proposed substitute premises. The letter
    further requested that Calcagnini confirm in writing no
    later than April 19, 2018, that the proposed substitute
    premises was acceptable and that the plaintiff would
    assume that the defendant was unwilling to relocate to
    this space if no response was received by that date. The
    notice of substitution was sent to Calcagnini’s principal
    place of residence via United Parcel Service (UPS) over-
    night delivery. Calcagnini, however, never received the
    notice of substitution.
    On July 2, 2019, James Palmer, a principal of the
    plaintiff, met with Calcagnini. During the meeting,
    Palmer gave Calcagnini a bullet point list of topics to
    discuss. One of the bullet points stated that Calcagnini
    ‘‘waived his relocation rights by not responding to April
    4, 2018 letter sent by [Palmer] via UPS showing pro-
    posed substitute space.’’ This meeting was the first time
    that Calcagnini became aware of the notice of substitu-
    tion. The July 2, 2019 meeting ended unsuccessfully,
    and Calcagnini mentioned getting an attorney involved
    after seeing the contents of the bullet points.
    On July 31, 2019, the zoning commission approved
    an amended plan for the redevelopment of the shopping
    center. Under the new plan, the redevelopment would
    be conducted in a single phase rather than in multiple
    phases. That same day, Palmer hand delivered a termi-
    nation of lease letter to the defendant at the demised
    premises. The termination of lease referenced the
    notice of substitution, stated that the defendant had
    failed to accept the proposed substitute premises identi-
    fied in that notice, and stated that, as a result, the
    plaintiff was electing to terminate the lease pursuant
    to the relocation clause.
    On August 30, 2019, the plaintiff served the defendant
    with a notice to quit. The plaintiff’s notice to quit stated
    that it was electing to terminate the defendant’s lease
    ‘‘for failure to accept a substitute premises which was
    offered to you on April 4, 2018.’’ On September 23,
    2019, the plaintiff filed a three count summary process
    complaint alleging (1) termination of lease by express
    stipulation, (2) lapse of time, and (3) occupancy by one
    who originally had a right or privilege but such right
    or privilege has terminated. In response to the plaintiff’s
    summary process complaint, the defendant asserted
    three special defenses: failure to perform a condition
    precedent, impossibility or impracticability, and
    unclean hands.1 Trial was held over the course of two
    days on January 23 and February 14, 2020.
    The court rendered judgment in favor of the plaintiff.
    In its memorandum of decision, the court found that,
    although the defendant had the right to possess the
    demised premises through September 30, 2020, the par-
    ties knew at the time of the execution of the lease
    and its amendment that the plaintiff was planning to
    redevelop the entire shopping center and that they con-
    tracted for this eventuality. The court also found that
    the ‘‘plaintiff continually attempted to involve the defen-
    dant in its relocation plans and at all times wished to
    provide the defendant with a substitute premises under
    the lease. In return for [its] good faith, the court believes
    [it] received the runaround, slowing down its attempted
    redevelopment. It is undisputed that the substituted
    premises was never ‘completed’ or ready for move in,
    in fact, to date, it has not yet been constructed. The
    plaintiff, after unsuccessfully negotiating in excess of
    a year with the defendant, gave up on its ‘phased in’
    redevelopment plan and decided to redevelop the shop-
    ping plaza all at once. Certainly, it is doing so at a seven
    figure savings from the phased in plan, but the court
    believes that had the [defendant] ever expressed a
    desire to proceed with a move, the plaintiff would never
    have reached this business decision.
    ‘‘By refusing to act in good faith as to the relocation
    plan, the [defendant] violated the express language of
    the lease and left the plaintiff with no option other than
    to terminate the lease and proceed with this action.
    . . . The defendant’s refusal to fairly negotiate was akin
    to a refusal to relocate to the proposed substitute space,
    and as such, the plaintiff properly terminated the lease
    by the July 31, 2019 letter.’’ Finally, the court found
    that the defendant had failed to meet its burden of
    proving its special defenses because ‘‘the notices given
    under the lease [were] proper and . . . the plaintiff
    acted in good faith in its negotiations and performed
    all conditions precedent to maintain this action.’’
    Accordingly, the court found for the plaintiff on counts
    one and three of its summary process complaint2 and
    rendered a judgment of immediate possession for the
    plaintiff. This appeal followed.
    The defendant claims on appeal that the court
    improperly interpreted the relocation clause of the
    lease. Specifically, the defendant contends that the
    court erred in finding that (1) the plaintiff could require
    it to accept a proposed substitute premises before it
    was constructed, (2) the defendant was required to
    issue a written response to accept or reject a proposed
    substitute premises before it was built, (3) failure to
    respond in writing within fifteen days of the date of
    the notice of substitution constituted a rejection of the
    substitute premises to be built in the future and consti-
    tuted a default supporting termination of the lease, (4)
    the defendant was required to negotiate the relocation
    of the demised premises and to accommodate the plain-
    tiff’s redevelopment plan, and (5) the notice of substitu-
    tion was valid and that all conditions precedent to the
    plaintiff’s ability to exercise its rights under the reloca-
    tion clause were satisfied. In response, the plaintiff
    contends that the lease does not contain any language
    that required it to have completed construction of the
    substitute premises prior to giving notice of relocation
    and that the lease contemplated that work on the substi-
    tute premises would not be completed at the time that
    notice was given. We agree with the defendant that the
    court improperly interpreted the relocation clause.
    To resolve the defendant’s claims on appeal, we first
    must interpret the relocation clause of the lease. In
    doing so, we are guided by the following relevant legal
    principles. ‘‘The defendant’s claim presents a question
    of contract interpretation because a lease is a contract,
    and, therefore, it is subject to the same rules of con-
    struction as other contracts. . . . The standard of
    review for the interpretation of a contract is well estab-
    lished. Although ordinarily the question of contract
    interpretation, being a question of the parties’ intent,
    is a question of fact . . . [when] there is definitive con-
    tract language, the determination of what the parties
    intended by their . . . commitments is a question of
    law [over which our review is plenary].’’ (Internal quota-
    tion marks omitted.) Sproviero v. J.M. Scott Associates,
    Inc., 
    108 Conn. App. 454
    , 468–69, 
    948 A.2d 379
    , cert.
    denied, 
    289 Conn. 906
    , 
    957 A.2d 873
     (2008).
    ‘‘When a party asserts a claim that challenges the
    trial court’s construction of a contract, we must first
    ascertain whether the relevant language in the agree-
    ment is ambiguous. . . . If a contract is unambiguous
    within its four corners, intent of the parties is a question
    of law requiring plenary review. . . . [If] the language
    of a contract is ambiguous, the determination of the
    parties’ intent is a question of fact, and the trial court’s
    interpretation is subject to reversal on appeal only if it
    is clearly erroneous. . . . A contract is ambiguous if
    the intent of the parties is not clear and certain from
    the language of the contract itself. . . . Accordingly,
    any ambiguity in a contract must emanate from the
    language used in the contract rather than from one
    party’s subjective perception of the terms. . . .
    ‘‘[W]e accord the language employed in the contract
    a rational construction based on its common, natural
    and ordinary meaning and usage as applied to the sub-
    ject matter of the contract. . . . [If] the language is
    unambiguous, we must give the contract effect
    according to its terms. . . . [If] the language is ambigu-
    ous, however, we must construe those ambiguities
    against the drafter. . . . Moreover, in construing con-
    tracts, we give effect to all the language included
    therein, as the law of contract interpretation . . . mili-
    tates against interpreting a contract in a way that ren-
    ders a provision superfluous.’’ (Citations omitted; inter-
    nal quotation marks omitted.) EH Investment Co., LLC
    v. Chappo, LLC, 
    174 Conn. App. 344
    , 358, 
    166 A.3d 800
     (2017). Thus, the ‘‘contract must be viewed in its
    entirety, with each provision read in light of the other
    provisions . . . . We will not construe a contract’s lan-
    guage in such a way that it would lead to an absurd
    result.’’ (Citation omitted; emphasis omitted; internal
    quotation marks omitted.) Welch v. Stonybrook Gardens
    Cooperative, Inc., 
    158 Conn. App. 185
    , 198, 
    118 A.3d 675
    , cert. denied, 
    318 Conn. 905
    , 
    122 A.3d 634
     (2015).
    ‘‘In construing a written lease . . . three elementary
    principles must be [considered]: (1) The intention of
    the parties is controlling and must be gathered from the
    language of the lease in the light of the circumstances
    surrounding the parties at the execution of the instru-
    ment; (2) the language must be given its ordinary mean-
    ing unless a technical or special meaning is clearly
    intended; [and] (3) the lease must be construed as a
    whole and in such a manner as to give effect to every
    provision, if reasonably possible.’’ (Internal quotation
    marks omitted.) Elliott Enterprises, LLC v. Goodale,
    
    166 Conn. App. 461
    , 469, 
    142 A.3d 335
     (2016).
    In the present case, we first conclude that the lan-
    guage of the relocation clause is clear and unambiguous
    and, therefore, the intent of the parties is a question of
    law. The relocation clause contains definitive contract
    language that clearly enumerates the obligations of the
    parties. Subsection A of the relocation clause provides
    that the plaintiff ‘‘may, at its option . . . elect by notice
    to the Tenant to require the Tenant to vacate and surren-
    der the Demised Premises, and to substitute for the
    Demised Premises other reasonably similar space else-
    where in the Shopping Center . . . designated by the
    Landlord . . . and to move the Tenant to the Substitute
    Space. . . . The Tenant shall vacate and surrender the
    Demised Premises and shall occupy the Substitute
    Premises promptly . . . . Should the Tenant refuse to
    relocate to the Substitute Space, the Landlord may, at
    its option, by notice to the Tenant, elect to terminate
    the Lease . . . .’’ (Emphasis added.)
    Pursuant to the plain and unambiguous language of
    subsection A of the relocation clause, the plaintiff could
    elect, after notifying the defendant, to have the defen-
    dant vacate the demised premises and to move the
    defendant into a substitute premises. If the plaintiff
    made such an election, then the defendant was required
    to move into the substitute premises. See Boreen v.
    Boreen, 
    192 Conn. App. 303
    , 321, 
    217 A.3d 1040
     (use of
    word ‘‘ ‘shall’ ’’ connotes requirement), cert. denied, 
    333 Conn. 941
    , 
    218 A.3d 1046
     (2019). No language in the
    relocation clause expressly provides that the defendant
    was required to negotiate the terms of relocation with
    the plaintiff, including negotiating the location of the
    substitute premises or accommodating the plaintiff’s
    redevelopment plans. There also is no language that
    obligates the defendant to accept or reject, in writing,
    a proposed substitute premises before it was built.3
    Instead, pursuant to the unambiguous language of the
    relocation clause, the defendant was required to vacate
    the demised premises and to move into the substitute
    premises after the plaintiff provided it with valid notice
    regarding the same. If the defendant refused to relocate
    to the substitute premises after receiving notice from
    the plaintiff, then, and only then, was the plaintiff per-
    mitted to terminate the lease pursuant to the reloca-
    tion clause.
    Moreover, the relocation clause implicitly provides
    that, as a condition precedent to the plaintiff’s ability
    to give the defendant a valid notice of substitution, the
    substitute premises was required to be in existence at
    the time notice was given. ‘‘A condition precedent is a
    fact or event which the parties intend must exist or
    take place before there is a right to performance. . . .
    A condition is distinguished from a promise in that it
    creates no right or duty in and of itself but is merely a
    limiting or modifying factor. . . . If the condition is
    not fulfilled, the right to enforce the contract does not
    come into existence. . . . Whether a provision in a con-
    tract is a condition the nonfulfillment of which excuses
    performance depends upon the intent of the parties, to
    be ascertained from a fair and reasonable construction
    of the language used in the light of all the surrounding
    circumstances when they executed the contract.’’
    (Internal quotation marks omitted.) EH Investment Co.,
    LLC v. Chappo, LLC, supra, 
    174 Conn. App. 360
    .
    In the present case, subsection A of the relocation
    clause provides that, after the defendant received a
    notice of substitution, the defendant ‘‘shall vacate and
    surrender the Demised Premises and shall occupy the
    Substitute Premises promptly (and in any event not
    later than fifteen [15] days after the Landlord has sub-
    stantially completed any work to be performed in the
    Substitute Premises pursuant to [subsection] B here-
    of).’’ (Emphasis added.) Subsection A thus implicitly pre-
    supposes that the substitute premises already would
    be in existence at the time notice of substitution is
    issued. An interpretation to the contrary would render
    the ‘‘shall occupy the Substitute Premises promptly’’
    language superfluous, as it would be impossible for the
    defendant to vacate the demised premises and then
    occupy promptly a substitute premises that had not
    yet been constructed. See EH Investment Co., LLC v.
    Chappo, LLC, supra, 
    174 Conn. App. 358
     (‘‘in construing
    contracts, we give effect to all the language included
    therein, as the law of contract interpretation . . . mili-
    tates against interpreting a contract in a way that ren-
    ders a provision superfluous’’ (internal quotation marks
    omitted)); Elliott Enterprises, LLC v. Goodale, supra,
    
    166 Conn. App. 469
     (‘‘the lease must be construed as
    a whole and in such a manner as to give effect to every
    provision, if reasonably possible’’ (internal quotation
    marks omitted)).
    Although the relocation clause does not contain any
    language expressly providing that the substitute prem-
    ises had to be constructed prior to the plaintiff’s ability
    to issue a valid notice of substitution, such an interpre-
    tation is implicit because an interpretation to the con-
    trary would yield absurd results. See Welch v.
    Stonybrook Gardens Cooperative, Inc., 
    supra,
     
    158 Conn. App. 198
     (‘‘[w]e will not construe a contract’s
    language in such a way that it would lead to an absurd
    result’’). In the plaintiff’s view, the substitute premises
    did not need to be in existence at the time that notice
    of substitution was issued. If the relocation clause were
    construed in this manner, however, then the defendant,
    upon receiving a notice of substitution, would be
    required to close its business for an indefinite amount
    of time while the demised premises was razed and the
    substitute premises was constructed. The amendment
    to the lease also expressly provides that the defendant
    waives ‘‘all claims against Landlord for any compensa-
    tion or loss of use of the Rental Premises occasioned
    by such redevelopment activities.’’ The defendant,
    therefore, not only would be unable to make any money
    from its business if the plaintiff could force it to vacate
    the demised premises prior to the construction of the
    substitute premises, but it also would be unable to seek
    any damages from the plaintiff for its lost profits. This
    scenario, which would be possible under the plaintiff’s
    interpretation of the relocation clause, creates an
    absurd and bizarre result, as we hardly can imagine that
    the defendant would agree to such terms. See Grogan
    v. Penza, 
    194 Conn. App. 72
    , 79, 
    220 A.3d 147
     (2019)
    (‘‘we presume that the parties did not intend to create
    an absurd result’’ (internal quotation marks omitted));
    Welch v. Stonybrook Gardens Cooperative, Inc., 
    supra, 199
     (‘‘contractual documents are to be read as a whole
    and bizarre results are to be avoided’’).
    Such a result also is bizarre because it contradicts
    the clear terms of the amendment to the lease. The
    amendment to the lease provides that the plaintiff
    agreed to ‘‘reasonably cooperate with Tenant in good
    faith to the extent reasonably practical during any rede-
    velopment of the Shopping Center to minimize any
    material and adverse impact of such redevelopment on
    the conduct of Tenant’s business . . . .’’ If the plaintiff
    could compel the defendant to vacate the demised
    premises before the substitute premises was built, then
    the defendant’s business undisputedly would be materi-
    ally and adversely impacted, as it would be unable to
    operate its restaurant while the substitute premises was
    being constructed. In light of these considerations, and
    the absurd results that the plaintiff’s interpretation of
    the relocation clause would produce, the relocation
    clause is more reasonably construed to require the exis-
    tence of the substitute premises at the time a notice of
    substitution is issued. Accordingly, we conclude that
    the existence of the substitute premises was a condition
    precedent to the plaintiff’s ability to issue a valid notice
    of substitution under the relocation clause.
    Having interpreted the relocation clause of the lease,
    we next determine whether the court incorrectly found
    that the defendant breached the lease by violating the
    relocation clause. Whether a lease was breached pre-
    sents a question of fact. See Lynwood Place, LLC v.
    Sandy Hook Hydro, LLC, 
    150 Conn. App. 682
    , 687, 
    92 A.3d 996
     (2014). ‘‘Factual findings are subject to a
    clearly erroneous standard of review. . . . It is well
    established that [a] finding of fact will not be disturbed
    unless it is clearly erroneous in view of the evidence
    and pleadings in the whole record. . . . A finding of
    fact is clearly erroneous when there is no evidence in
    the record to support it . . . or when although there
    is evidence to support it, the reviewing court on the
    entire evidence is left with the definite and firm convic-
    tion that a mistake has been committed . . . . Our
    authority, when reviewing the findings of a judge, is
    circumscribed by the deference we must give to deci-
    sions of the trier of fact, who is usually in a superior
    position to appraise and weigh the evidence. . . . The
    question for this court . . . is not whether it would
    have made the findings the trial court did, but whether
    in view of the evidence and pleadings in the whole
    record it is left with the definite and firm conviction
    that a mistake has been committed.’’ (Internal quotation
    marks omitted.) 
    Id.
    On the basis of the record before us, and in light of
    our interpretation of the relocation clause, we conclude
    that the court’s finding that the defendant breached the
    lease by violating the terms of the relocation clause
    was clearly erroneous. In its memorandum of decision,
    the court found that, ‘‘[b]y refusing to act in good faith
    as to the relocation plan, the [defendant] violated the
    express language of the lease and left the plaintiff with
    no option other than to terminate the lease and proceed
    with this action. . . . The defendant’s refusal to fairly
    negotiate was akin to a refusal to relocate to the pro-
    posed substitute space, and as such, the plaintiff prop-
    erly terminated the lease by the July 31, 2019 letter.’’
    The relocation clause, however, contains no language
    that expressly requires the defendant to negotiate the
    terms of relocation, to participate in the process of
    identifying a substitute premises, or to give the plaintiff
    written acceptance or rejection of a proposed substitute
    premises that had not yet been constructed.4 Instead,
    the relocation clause simply obligated the defendant to
    surrender the demised premises and to move into the
    substitute premises upon receiving a valid notice of sub-
    stitution from the plaintiff.
    The notice of substitution that the plaintiff issued to
    the defendant, however, was not valid. As previously
    observed, the existence of the substitute premises was
    a condition precedent to the plaintiff’s right to issue a
    notice of substitution to the defendant. It is undisputed
    that the substitute premises had not yet been con-
    structed at the time that the notice of substitution was
    issued. A condition precedent to issuing a valid notice
    of substitution thus was not fulfilled. As a result, the
    defendant’s duty to perform under the relocation clause
    was never triggered because the plaintiff’s right to
    enforce it had not yet come into existence.5 See EH
    Investment Co., LLC v. Chappo, LLC, supra, 
    174 Conn. App. 360
    . Accordingly, we conclude that the court’s
    finding that the defendant breached the lease by vio-
    lating the terms of the relocation clause is unsupported
    by the record and, therefore, is clearly erroneous.6 See
    Lynwood Place, LLC v. Sandy Hook Hydro, LLC, supra,
    
    150 Conn. App. 687
    .
    The judgment is reversed and the case is remanded
    with direction to render judgment for the defendant.
    In this opinion the other judges concurred.
    1
    The defendant also filed a four count counterclaim, alleging claims for
    breach of contract, breach of the implied covenant of good faith and fair
    dealing, tortious interference, and violation of the Connecticut Unfair Trade
    Practices Act, General Statutes § 42-110a et seq. The plaintiff moved to
    dismiss the defendant’s counterclaim on the ground that the claims alleged
    therein may not be asserted in a summary process action. The court granted
    the motion to dismiss, concluding that ‘‘the defendant can pursue these
    claims in a separate cause of action, but not as counterclaims in the limited
    jurisdiction housing session of the Superior Court.’’ The court’s dismissal
    of the counterclaim is not at issue in this appeal.
    2
    The court did not find for the plaintiff on count two of its complaint,
    which alleged a claim for lapse of time.
    3
    Section 21 of the lease provides: ‘‘Oral Agreements Excluded. It is further
    agreed between Landlord and the Tenant that this Lease embodies the entire
    agreement between them, and that no amendments or modifications hereto
    shall become effective except by appropriate written endorsement hereof
    or separate written agreement supplemental hereto.’’ (Emphasis in original.)
    We agree with the defendant that the trial court was incorrect in finding
    that the defendant was obligated to negotiate in good faith with respect to
    the relocation plans of the plaintiff and to accommodate the plaintiff’s
    relocation plans. Such findings contradict the express terms of the relocation
    clause of the lease.
    4
    We are mindful that subsection B of the relocation clause provides that
    the ‘‘Tenant agrees to cooperate with the Landlord so as to facilitate the
    completion by the Landlord of its obligations under this Section and the
    prompt surrender of the Demised Premises, and further agrees to promptly
    perform in the Substitute Premises any work to be performed therein by
    the Tenant to prepare the Substitute Premises for the Tenant’s occupancy.’’
    We do not interpret this clause, however, to require the defendant to negoti-
    ate the terms of relocation with the plaintiff, to participate in the selection
    of the proposed substitute premises, and to accept it prior to its construc-
    tion. In context, this clause clearly is referring to the defendant’s obligations
    to assist the plaintiff with furnishing and installing fixtures, improvements,
    and appurtenances in the substitute premises and to assist the plaintiff with
    its other responsibilities related to facilitating the defendant’s move into
    the substitute premises. Nothing in this clause, or in the rest of the relocation
    clause, indicates that the defendant was required to cooperate with the
    plaintiff in identifying and accepting the substitute premises before it was
    built. We will not import such an obligation into the lease in the absence
    of any language indicating that the parties intended to impose this duty on
    the defendant. See Prime Locations of CT, LLC v. Rocky Hill Development,
    LLC, 
    199 Conn. App. 642
    , 657, 
    237 A.3d 3
     (2020) (‘‘[I]t is well settled that
    we will not import terms into [an] agreement . . . that are not reflected in
    the contract. . . . A court simply cannot disregard the words used by the
    parties or revise, add to, or create a new agreement. . . . A term not
    expressly included will not be read into a contract unless it arises by neces-
    sary implication from the provisions of the instrument.’’ (Citation omitted;
    internal quotation marks omitted.)).
    5
    We are unpersuaded by the plaintiff’s argument that the notice of substitu-
    tion was valid because the lease actually contemplated that work on the
    substitute premises would not be fully completed at the time that notice
    was given. Although the relocation clause does provide that work on the
    substitute premises did not have to be completed at the time that notice of
    substitution was given, it does not contemplate that the substitute premises
    would not even have been constructed at such time. The relocation clause
    limits the work to be completed at the time that notice of substitution
    is given to the furnishing and installation of fixtures, improvements, and
    appurtenances in the substitute premises. Accordingly, the plaintiff’s argu-
    ment fails.
    6
    The defendant also argues that the plaintiff’s notice of substitution was
    invalid because the plaintiff did not send the notice in a manner in which
    proof of receipt was required as contemplated by the notice provisions of
    the lease. In light of our conclusion that the notice of substitution was
    invalid because a condition precedent to its issuance was not fulfilled, we
    need not address this issue.
    

Document Info

Docket Number: AC44042

Filed Date: 9/7/2021

Precedential Status: Precedential

Modified Date: 9/3/2021