ÿWPCh …# VUFa %§ 0@­4í  w@ 0JX 0T¢ 0^ö 0hT 0r¼ 0|. 0†ª 00 1uÀ 0d5 U6™ B)Ï DCø AM;U*ˆ B²0Ïv~ÿvÓ} D3P 0@ƒ AOÃÆ 0DØ D/ BK˜HP LaserJet 4Si/4SiMX PS 600dpiPSCRIPTÀÌÀääÀÀÌ0 <¾½Q 9Z ‹.Courier New RegularX(ù$¡¡Ó  ÓÓ  Ó©U!¡Ó 3|xŠ vwDxUyEz{E|}~DÓ€2 ÿÿ0Indent1Ô2ÔÔ3  Ô2" ÿÿ0Indent2à0 àÔ2ÔÔ3  Ô2, ÿÿ0Indent3à0 àà0 àÔ2ÔÔ3  Ô26 ÿÿ0Indent4à0 àà0 àà0 àÔ2ÔÔ3  Ô2@ ÿÿ0Indent5à0 àà0 àà0 àà0 àÔ2ÔÔ3  Ô2J ÿÿ0Indent6à0 àà0 àà0 àà0 àà0 àÔ2ÔÔ3  Ô2T ÿÿ0Indent7à0 àà0 àà0 àà0 àà0 àà0 àÔ2ÔÔ3  Ô2^ ÿÿ0Indent8à0 àà0 àà0 àà0 àà0 àà0 àà0 àÔ2ÔÔ3  Ô ÿÿ?AGMSYaioIndent0I.A.1.a.(1)(a)i)a)P ÿÿ8Mac DefaultMac DefaultÓ ` °šXÓ< Œ 9p`(Courier New% Line 7 d!!!!7Border 1dd€-"Cþÿ << Gÿÿ< Œ 9p`(Arial d &Ý ƒ!ÝÑ  ÑÑ#€d#ÑÔ€ ÔÓ  ÓÓ  ÓÝ  ÝÔ€$ÔÔ€$ÔÓ  ÓÔ YYY ÔFILEDÔ€$XÔÌÌò òOctober€21,€1996ÌÌCecil€Crowson,€Jr.ÌÔ€$ôÔAppellate€Court€Clerkó óPtPtHPð€ÿÜÿìô”(üHPð€P € €'Styl{WP}01•ÃÃÃÃÃÃÃÃÃÃÃÃÃÃÃÃÃÃà Ãà Ãà Ãà Ãà ÃÃÃÃÃÃÃÃÃÃÃÐ ÐÐHHÐÐ  ÐÐ2ÐÐÿÿ¸æ$ÿÐÐHHÐÐÐÐÐÐÐÐ  ÐÐ ÐÐ ÐÑÑÑGenevaÑÑ ÑÑ € ÑÑ<Px–ÈÑÒÒÒ443!#4ÒÒ$ *$ÒÒ$*$ÒÒ ÿKK ÒÒ  Geneva ÒÒ  Geneva ÒÓ.,ÓÓÓÓ6ÓÓ ÓßßßßßßßßßßßßßßßßßßÑGenevaÑÑ ÑÒ  BA Op Geneva ÒÒ  BA Op Geneva Ò%%%%'ÿÿdxd("ÿÿ$££Ò  ÒÒ  Ò€-‚ƒCþÿ<< CÿÿƒLevel 1Level 2Level 3Level 4Level 5($$””ò òÚ  Ú1Ú  Úó ó„„'÷ÿ dxdüÿP PdÝ ƒ!ÝÔ . ÔÔ€ ÔÓ  ÓÓ  ÓÝ  ÝÑ  ÑÑ  ÑÑ ¸ ÑÑ Ü ÑÑ\R AØ'\ÑÑ7€‰®XXdÖXXdÖ7ÑÙ€€ÙßL€#&";+'h|` Å `€€Lß›à@ àIN€THE€COURT€OF€APPEALSÌÌÌÌÌÌÌÌARTHUR€v.€CLANCY,€JR.,€€€€€€€€€€)à àKNOX€CIRCUITÌKATHERINE€C.€MURPHY,€MARY€C.€€€€)à àC.A.€NO.€03A01„9606„CV„00187ÌKERLEY,€JOSEPHINE€C.€SWIKARD,€€€)Ìand€ELIZABETH€C.€œKIDD,€€€€€€€€€€)›Ì€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€)Ì€€€€€€€€€€Plaintiffs„Appellees€€)Ì€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€)Ì€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€)Ì€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€)Ì€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€)Ì€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€)Ìvs.€€€€€€€€€€€€€€€€€€€€€€€€€€€€€)à àHON.€DALE€C.€WORKMANÌ€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€)à àJUDGEÌ€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€)Ì€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€)Ì€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€)Ì€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€)Ì€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€)ÌERIC€MICHAEL€GEORGESON€and€€€€€€)à àAFFIRMED€AND€REMANDEDÌJAMES€R.€FITZGERALD,€€€€€€€€€€€€)Ì€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€)Ì€€€€€€€€€€Defendants„Appellants€)ÌÌÌÌÌNEAL€S.€œMELNICK›€and€LAWRENCE€E.€œAULT›,€Knoxville,€for€Appellants.ÌÌÌJOHN€M.€NORRIS,€Strawberry€Plains,€for€Appellees.ÌÌÌÌÌÌÓÓà@ àòòO€P€I€N€I€O€NóóÌÌà€ àMcMurray,€J.ÌÌà àThis€case€involves€a€lease€agreement€entered€into€between€theÏappellants€(defendants)€and€the€appellees€(plaintiffs).€€Among€otherÏthings,€the€lease€obligated€the€defendants€to€pay€the€city€and€countyÏproperty€taxes€on€the€leased€premises€during€the€term€of€the€lease.€ÏœPllaintiffs›€instituted€this€action€to€recover€rent,€taxes€and€prejudgmentÏinterest.€€After€a€bench€trial€the€court€entered€a€judgment€against€theÏœdefendants›€for€$32,507.09,€representing€rent,€taxes€and€prejudgmentÏinterest.€€On€this€appeal,€the€appellants€challenge€only€the€ruling€of€theÏcourt€regarding€prejudgment€interest€on€the€amount€of€the€taxes.€€WeÏaffirm€the€trial€court.ÌÌà àThe€appellant€complains€that€the€trial€court€awarded€judgment€forÏprejudgment€interest€calculated€from€the€date€of€delinquency€to€the€dateÏof€the€trial.€€The€issue€is€stated€by€the€defendants€as€follows:ÌÌÓÓà8 àà0 àà à1.à àDid€the€trial€court€err€by€calculating€prejudgmentÏinterest€on€the€unpaid€taxes€from€the€date€of€delinquencyÍto€the€date€of€trial,€notwithstanding€plaintiffs'€testi…mony€taxes€were€paid€at€a€later€date?ÌÌÓÓÌà àParagraph€16€of€the€lease€agreement€provides€that€the€tenant€shallÏpay€and€discharge,€when€due,€as€part€of€the€rental€of€the€premises,€allÏproperty€taxes€and€assessments€charged€on€the€premises€or€any€improvementsÏthereto€during€the€term€of€the€lease.€€The€agreement€further€provides€thatÏshould€the€taxes€become€delinquent,€then€the€plaintiffs€have€the€òòright€andÏoptionóó€to€pay€the€taxes€due€and€that€any€amount€so€paid€shall€be€added€asÏadditional€rental.€€(Emphasis€added).ÌÌà àDefendants€argue€that€"until€such€taxes€are€paid€by€the€appellees,Ïthere€is€no€amount€due."€€We€respectfully€disagree€with€the€positionÏadvanced€by€the€appellants.€€The€appellants€were€not€obligated€to€pay€theÏtaxes€but€merely€possessed€the€option€of€paying€the€taxes€past€due.€ÏWhether€the€past€due€rents€were€called€rent€or€taxes,€nevertheless,€theÏamount€thereof€was€owed€by€the€appellants€under€the€express€terms€of€theÏlease€agreement.€€The€court€has€the€discretionary€authority€in€a€case€suchÏas€this€to€ascertain€the€amount€of€and€award€prejudgment€interest€on€allÏamounts€due.€€Prejudgment€interest€is€allowed€as€a€general€rule€in€casesÏwhere€the€amount€of€the€debt€is€certain€and€not€disputed€on€reasonableÍgrounds.€€òòTextile€Workers€Union€v.€Brookside€Mills,€Incóó.,€205€Tenn.€394,Ï326€S.W.2d€671€(1959).€€It€should€be€allowed€in€accordance€with€theÏprinciples€of€equity.€òòœSchoen›€v.€œJ.C.›€Bradford€&€Coóó.,€667€S.W.2d€97€(Tenn.ÏApp.€1984).€€"The€requirements€of€liquidation€is€satisfied€if€the€amountÏof€the€debt€is€certain€or€can€be€made€certain€by€mere€computations."€ÏòòPerformance€Systems€v.€First€Am.€œNat'l.›€Bankóó,€554€S.W.2d€œ616€Tenn.€1977.›€ÏHere,€the€amount€of€the€rents€and€taxes€past€due€can€be€ascertained€byÏmere€œcomputation.Ì›€ÌÓÓà8 àT.C.A.€47„14„123€provides€that€prejudgment€interest€may€beÏawarded€as€an€element€of€damages€"in€accordance€with€theÏprinciples€of€equity€at€any€rate€not€in€excess€of€the€maximumÏeffective€rate€of€ten€percent€(10%)€per€annum."€òòSeeóó€òòœSchoen›€v.ÏœJ.C.›€Bradford€&€Coóó.,€667€S.W.2d€97€(Tenn.€App.1984),€The€awardÏof€prejudgment€interest€is€within€the€sound€discretion€of€theÏtrial€court€and€the€decision€will€not€be€disturbed€uponÏappellate€review€unless€the€record€reveals€a€manifest€andÏpalpable€abuse€of€discretion.€€òòSeeóó€òòœEngert›€v.€Peerless€Insur…ance€Coóó.,€53€Tenn.€App.€310,€382€S.W.2d€541€(1964);€òòB.F.€MyersÏ&€Son€of€œGoodlettsville›,€Inc.€v.€Evansóó,€612€S.W.2d€912€(Tenn.ÏApp.1980);€€òòIn€re€Estate€of€Cooperóó,€689€S.W.2d€870€(Tenn.ÏApp.1985);€òòœTeague›€Brothers,€Inc.€v.€Martin€&€œBayley›,€Incóó.,€750ÏS.W.2d€152€(Tenn.€App.1987).€The€award€of€prejudgment€interestÏas€an€element€of€damages€is€not€considered€a€penalty€imposedÏupon€the€defendant,€but€is€allowed€in€accordance€with€theÏprinciples€of€equity.€òòIn€re€Estate€of€Davisóó,€719€S.W.2d€526Ï(Tenn.€œApp.1986).€...›ÌÌòòOtis€v.€Cambridge€œMut›.€Fire€Ins.€Coóó.,€850€S.W.2d€œ439,446›€(Tenn.€œ1992).›ÌÌÓÓœÌà àWe€are€of€the€opinion€that€the€facts€of€this€case€meet€the€requiredÏtest.€›€Ìà àAppellants€further€argue€that,€at€the€time€of€trial,€penalties€andÏinterest€had€been€imposed€by€the€taxing€agency€on€the€amount€of€the€pastÏdue€taxes.€€Thus,€they€argue,€to€impose€prejudgment€interest€on€the€amountÏawarded€for€delinquent€taxes€constitutes€a€double€payment€of€interest.€ÏTheir€reasoning€is€that€when€the€plaintiffs€paid€the€taxes,€the€interestÏand€penalties€were€included€through€the€respective€dates€of€payment.€€ThisÏreasoning€is€fallacious.€€The€prejudgment€interest€is€calculated€on€theÏdebt€owed€by€the€debtor.€€In€this€case,€appellants'€debt€included€penal…ties€and€interest€paid€by€the€plaintiffs€or€which€the€plaintiffs€wereÏobliged€to€pay€because€of€defendants'€breach€of€the€lease€agreement.€ÏInterest€is€a€charge€made€for€the€use€of€money€while€rent€is€a€charge€madeÏfor€the€use€of€land.€€òòPerformanceóó,€supra.€€We€find€no€merit€in€thisÏargument.ÌœÌà àWe€find€no€abuse€of€discretion€nor€reversible€error.€€Accordingly,Ïthe›€judgment€of€the€trial€court€is€affirmed€in€all€respects.€€Costs€areÏtaxed€to€the€appellants€and€this€cause€is€remanded€to€the€trial€court€forÏthe€collection€thereof.ÌÓÓÌÌà€ à______________________________Ì€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€Don€T.€McMurray,€J.ÌÌÌÌCONCUR:ÌÌÌ___________________________________ÌHouston€M.€Goddard,€Presiding€JudgeÌÌÌœ___________________________________ÌHerschel€P.€Franks,€JudgeÇÑ  ÑÑ7€†ÎXXdÔXXdÔ7Ñà@ àIN€THE€COURT€OF€APPEALSÌÌÌÌÌÌÌÌARTHUR€v.€CLANCY,€JR.,€€€€€€€€€€)à àKNOX€CIRCUITÌKATHERINE€C.€MURPHY,€MARY€C.€€€€)à àC.A.€NO.€03A01„9606„CV„00187ÌKERLEY,€JOSEPHINE€C.€SWIKARD,€€€)Ìand€ELIZABETH€C.€KIDD,€€€€€€€€€€)Ì€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€)Ì€€€€€€€€€€Plaintiffs„Appellees€€)Ì€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€)Ì€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€)Ì€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€)Ì€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€)Ì€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€)Ìvs.€€€€€€€€€€€€€€€€€€€€€€€€€€€€€)à àHON.€DALE€C.€WORKMANÌ€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€)à àJUDGEÌ€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€)Ì€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€)Ì€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€)Ì€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€)Ì€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€)ÌERIC€MICHAEL€GEORGESON€and€€€€€€)à àAFFIRMED€AND€REMANDEDÌJAMES€R.€FITZGERALD,€€€€€€€€€€€€)Ì€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€)Ì€€€€€€€€€€Defendants„Appellants€)ÌÌÌÌà@ àò òòòORDERóóó óÌÌÌÓÓà àThis€appeal€came€on€to€be€heard€upon€the€record€from€the€CircuitÏCourt€of€Hamilton€County€and€briefs€submitted€on€behalf€of€the€parties.€ÏUpon€consideration€thereof,€this€Court€is€of€the€opinion€that€there€wasÏreversible€no€error€in€the€trial€court.Ìà à€Accordingly,€the€judgment€of€the€trial€court€is€affirmed€in€allÏrespects.€€Costs€are€taxed€to€the€appellants€and€this€cause€is€remanded€toÏthe€trial€court€for€the€collection€thereof.ÌÌ€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€PER€CURIAM›