Beckett v. City of Paris Dry Goods Co.

Facts

Defendant entered an agreement with Plaintiff for Plaintiff to operate a first-class optical department in Defendant’s store. The agreement outlined that Defendant would determine what space the Plaintiff occupied and ensure that the space was in good, tenantable condition. The agreement also outlined that Plaintiff would pay 20% of his monthly sales as rent, do his billing through Defendant’s cashier, conduct his business in line with Defendant’s store policy, and discharge employees who Defendant objected to. Additionally, Plaintiff agreed to not assign the agreement without Defendant’s consent.

More than two years after entering this agreement, Defendant notified Plaintiff that it was canceling the agreement due to Plaintiff’s failure to deposit his receipts with Defendant’s cashier. After Plaintiff failed to vacate the property, Defendant removed Plaintiff’s property from the store.

Plaintiff sued Defendant to recover damages for the illegal eviction. Defendant argued that they only gave Plaintiff a license to use the store and did not enter into a lease with him and therefore the agreement could be terminated for just cause. The trial court ruled in Plaintiff’s favor but only awarded Plaintiff a portion of the damages he claimed. Both Defendant and Plaintiff appealed this decision.