OPINION ISSUED DECEMBER 20, 1985

R. J. CAREY COMPANY, INC.
VS.
DEPARTMENT OF HEALTH

(CC-84-209)

Bernard J. Meyer, Attorney at Law, for claimant.
Robert D. Pollitt, Assistant Attorney General, for respondent.

WALLACE, JUDGE:

Claimant company supplied two temporary boilers to Welch Emergency
Hospital under the
terms of an original lease contract with two successive one-year renewal
clauses. The agreement
was effective August 1, 1980, and it ended September 1, 1983. Claimant
company is alleging a
loss of $5,650.00 as claimant interpreted the terms of the agreement to
include an additional
lease of one year, which necessitated payment from respondent through
September 22, 1984.
Respondent, by letter dated December 23, 1983, exercised it's option to
cancel the contract
agreement on 15 days notice. Respondent made payment through May 20,
1984, with the
exception of the $2,290.00 March payment. Claimant removed the boilers
on may 20, 1984.
Respondent stipulated that $2,290.00 for the March payment is owed
claimant company.

The evidence indicates that a contract to lease boilers was entered
into between the claimant
and the respondent. The lease contained a cancellation provision which
was clear in its terms.
The parties to the agreement were aware of the terms of this provision.
The respondent canceled
the lease with the required 15 days notice. As the terms of the contract
were controlling, this
Court makes an award in the amount stipulated by respondent for the
March payment, which is
the only amount due the claimant.

Award of $2,290.00.

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