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Contracts Keyed to Murray
Starlite Limited Partnership v. Landry’s Restaurants, Inc.
Facts
Landry’s Seafood House-Minnesota Inc. (Seafood House) provided an offer to Starlite Limited Partnership (Plaintiff) for a twenty-year lease of property owned by Plaintiff. The offer stated that it would be deemed withdrawn and of no effect if Plaintiff did not sign and return a copy of the lease by a certain deadline. In anticipation of Plaintiff’s acceptance of the lease offer, Seafood House’s parent corporation, Landry’s Restaurants, Inc. (Defendant) issued a written guaranty of Seafood House’s lease. Plaintiff signed and returned a copy of the lease after the deadline stated in the offer. Seafood House occupied the property and paid rent for several years, but then stopped paying rent and vacated the property. Plaintiff sued Defendant’s for payment, based on Defendant’s guaranty. The district court granted summary judgment for Plaintiff, finding that Seafood House waived the deadline for acceptance of the offer by occupying the property and paying rent, and entered a judgment for damages in favor of Plaintiff. Defendant’s appealed, arguing that a term of acceptance may not be waived by a party’s performance under the contract.
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