May Tire & Service, Inc. v. Sinclair Refining Co.

The respondent opposed the allowing of appellant’s offset claiming that, (1) the guaranty agreement was ultra vires; (2) was not properly executed; and (3) there was no adequate consideration therefor.' Respondent leased its premises, the only real estate owned by it, to appellant by written lease containing the following stipulations :

“For each month during the term hereof lessee shall yield and pay as rental . . . the sum of $250 per month, . . . provided, however, that lessor shall have the option at the end of each month during the life of this lease of accepting ... a sum equal to one…