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Property Law Keyed to Kurtz
Brush Grocery Kart, Inc. v. Sure Fine Market, Inc.
Citation:
47 P.3d 680 (Co. 2002)Facts
In October 1992, Brush Grocery Kart and Sure Fine Market entered into a five-year lease with an option to purchase the property. Under the option provision, Brush could elect to purchase the property during the last six months of the lease at a price equal to the average of appraisals from experts designated by each party. Before the lease expired, Brush notified Sure Fine of its desire to purchase the property. When the parties could not agree on a price, Brush vacated the premises, returned the keys to Sure Fine, and discontinued its casualty insurance. Brush then filed suit seeking appointment of a special master to determine the purchase price. During litigation, a hail storm caused approximately $60,000 in damage to the property. Neither party carried casualty insurance at the time. The special master determined the property value to be $375,000, and the district court ruled that Brush bore the risk of loss as the equitable owner under the doctrine of equitable conversion.
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