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Contracts Keyed to Kunz
Ammerman v. City Stores Co.
Citation:394 F.2d 950 (D.C. Cir. 1968)
Defendant was attempting to obtain a county ruling which would permit the rezoning of their tract of land for use as a shopping center. Defendant anticipated an unfavorable outcome but knew Plaintiff expressed an interest in their project. Defendant requested Plaintiff to write a letter expressing their preference for Defendant over another developer. Plaintiff provided the requested letter in exchange for a promise that Plaintiff be given the opportunity to become a major tenant at the shopping center on terms equal to those given to other major tenants. Defendant memorialized this promise in a letter to Plaintiff stating:
“You have our assurance that in the event we are successful with our application, that we will give you the opportunity to become one of our contemplated center’s major tenants with rental and terms at least equal to that of any other major department store in the center”
Defendants then presented the letter written by Plaintiff at the rezoning hearing to support their application. And Plaintiff exercised its option to become one of Defendant’s major tenants in terms equal to that of the lease provided to other major tenants but was not given this opportunity by Defendant.
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