President & Trustees of the Ohio Univ. v. The Athens Livestock Sales, Inc

In President & Trustees of the Ohio Univ. v. The Athens Livestock Sales, Inc. (1961), 115 Ohio App. 21, 179 N.E.2d 382 at 22, the Fourth District likewise considered whether a lease granted a right of perpetual renewal when it provided for a stated duration of three years "and thereafter on a year to year basis until terminated by the lessees by one month's notice in writing to the lessors thirty days prior to the renewal date." After noting the general rule disfavoring perpetual leases and stating that "a lease will, if possible, be so construed as to avoid a perpetuity by renewal," the court focused on the unambiguous language of the lease. Id. at 22-23. The court stated: While strongly in favor of the principles of the Hallock case, we are bound by the terms of the instrument and must give credence to the expressions therein indicating the intentions of the parties to enter into a covenant for permanent renewal. To do otherwise would be to force a construction that is not clearly apparent on the face of the lease. Id. at 23. The court concluded that the parties, by clearly requiring a positive act by the lessees to end the tenancy, intended to enter a perpetual lease.