Cloudy Realty Corp. v. Irving Trust Co.

CHASE, Circuit Judge.

Tbe bankrupt held premises known as No. 557 Eighth avenue, in Manhattan, city of New York, under a lease from tbe owners in' fee which was executed November 14, 1919. This lease gave to tbe lessors tbe option to cancel tbe lease and take possession of tbe demised premises if tbe lessee became bankrupt. It provided also that, if tbe lessors exercised such option, tbe parties would be released from all obligations under tbe lease. By express agreement, it was made nonassignable. Tbe term began Jan-*264nary 1, 1920, and ended December 31, 1940, and the lessee agreed to pay a…