Childs v. Warner Brothers Southern Theatres, Inc.

200 N.C. 333, 156 S.E. 923 (1931)

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Nature of the Case

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Facts

The property at issue was a movie theatre. P's predecessor leased the property to Craver for a period of five years, from February 1923 through January 1928. P' predecessor then sold the property to P. Craver transferred his interest to Warner Brothers (D) by an instrument which purported to convey 'all right, title, and interest' in the lease. P assented to the assignment. D then assigned the lease to Carolina Theatres, Inc. In a letter to D, P assented to the assignment but informed D that he would continue to recognize them as the lessee and continue to hold them responsible for rent. Carolina Theatres operated the theatre until the company was placed in receivership. The original lease provided that, if the lessee or any of his successors or assigns were to be judged bankrupt or insolvent, the lessor had the right to re-enter the premises. The lower court found that D was liable for the unpaid rent. D appeals.