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Keywords

damagesappealtriallease
damagesappealtriallease

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List v. Dahnke, 638 P.2d 824

Facts

In April 1977, tenants Dahnke and Hart entered into a seven-year lease agreement for a restaurant space in Colorado Springs. The lease required written consent from the landlord for any assignment or subletting, which could not be unreasonably withheld. After experiencing financial difficulties, the tenants vacated the premises in November 1977 and sought to assign the lease to a new restaurateur, but the landlord refused. The landlord later leased the space to another party at a lower rental rate and subsequently sued the tenants for damages due to the breach of the lease agreement.

In April 1977, tenants Dahnke and Hart entered into a seven-year lease agreement for a restaurant space in Colorado Springs. The lease required written consent from the landlord for any assignment or subletting, which could not be unreasonably withheld. After experiencing financial difficulties, the tenants vacated the premises in November 1977 and sought to assign the lease to a new restaurateur, but the landlord refused. The landlord later leased the space to another party at a lower rental rate and subsequently sued the tenants for damages due to the breach of the lease agreement.

Issue

Did the landlord unreasonably withhold consent to the assignment of the lease, and was the damage award of $77,478.28 excessive?

Did the landlord unreasonably withhold consent to the assignment of the lease, and was the damage award of $77,478.28 excessive?

Rule

A landlord is held to the standard of conduct of a reasonably prudent person in determining whether to withhold consent to an assignment of a lease, and arbitrary considerations are not proper criteria for withholding consent.

A landlord is held to the standard of conduct of a reasonably prudent person in determining whether to withhold consent to an assignment of a lease, and arbitrary considerations are not proper criteria for withholding consent.

Analysis

The court found that the landlord's refusal to approve the assignment was based on a reasonable belief that the proposed restaurant would not succeed at that location, rather than on any improper racial considerations. The court also noted that the determination of whether consent was unreasonably withheld is a question of fact, and the trial court's findings were supported by evidence.

The court found that the landlord's refusal to approve the assignment was based on a reasonable belief that the proposed restaurant would not succeed at that location, rather than on any improper racial considerations. The court also noted that the determination of whether consent was unreasonably withheld is a question of fact, and the trial court's findings were supported by evidence.

Conclusion

The Court of Appeals affirmed the trial court's judgment, concluding that the landlord acted reasonably in withholding consent and that the damage award was supported by the evidence.

The Court of Appeals affirmed the trial court's judgment, concluding that the landlord acted reasonably in withholding consent and that the damages awarded were supported by the evidence.

Who won?

The landlord, Martin List, prevailed in the case because the court found that he acted reasonably in withholding consent for the lease assignment and that the damages awarded were justified.

The landlord, Martin List, prevailed in the case because the court found that he acted reasonably in withholding consent for the lease assignment and that the damages awarded were justified.

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