Logourl black
From our private database of 14,100+ case briefs...

Market Street Associates Limited Partnership v. Frey

United States Court of Appeals for the Seventh Circuit
941 F.2d 588 (7th Cir. 1991)


Facts

To finance its growth, J.C. Penney entered into a sale-leaseback agreement with General Electric Pension Trust (defendant). J.C. Penney was to sell properties to the trust, which the trust leased back to J.C. Penney for twenty-five year terms. The lease entitled the lessee to request the lessor to finance the costs of construction of improvements to the properties, and the lessor agreed to reasonably consider providing the financing and to negotiate in good faith. If negotiations failed the lease permitted the lessee to repurchase the property. J.C. Penney assigned a lease to Market Street Associates Limited Partnership (Market Street) (plaintiff), which had received an inquiry from a drugstore chain that wanted to open a store in the property, provided that Market Street could construct the building. Market Street initially sought out other financing but was denied because Market Street was only the lessee of the property. Market Street tried to buy the property back from the trust. The trust quoted a price of $3 million, which Market Street considered too high. Market Street subsequently requested financing for $2 million, but the trust responded that it was only interested in financing loans of over $7 million. Market Street responded that it would seek financing elsewhere. When unable to do so, Market Street tried to exercise its option to purchase the property under the provision of the lease, but the trust refused to sell. Market Street brought suit to compel specific performance. Market Street appeals a grant of summary judgment to the pension trust.

Rule of Law

The rule of law is the black letter law upon which the court rested its decision.

To access this section, please start your free trial or log in.

Issue

The issue section includes the dispositive legal issue in the case phrased as a question.

To access this section, please start your free trial or log in.

Holding and Reasoning (Posner, J.)

The holding and reasoning section includes:

  • A "yes" or "no" answer to the question framed in the issue section;
  • A summary of the majority or plurality opinion, using the CREAC method; and
  • The procedural disposition (e.g. reversed and remanded, affirmed, etc.).

To access this section, please start your free trial or log in.

What to do next…

  1. Unlock this case brief with a free (no-commitment) trial membership of Quimbee.

    You’ll be in good company: Quimbee is one of the most widely used and trusted sites for law students, serving more than 97,000 law students since 2011. Some law schools—such as Yale, Vanderbilt, Berkeley, and the University of Illinois—even subscribe directly to Quimbee for all their law students. Read our student testimonials.

  2. Learn more about Quimbee’s unique (and proven) approach to achieving great grades at law school.

    Quimbee is a company hell-bent on one thing: helping you get an “A” in every course you take in law school, so you can graduate at the top of your class and get a high-paying law job. We’re not just a study aid for law students; we’re the study aid for law students. Read more about Quimbee.

Here's why 217,000 law students have relied on our case briefs:

  • Written by law professors and practitioners, not other law students. 14,100 briefs, keyed to 189 casebooks. Top-notch customer support.
  • The right amount of information, includes the facts, issues, rule of law, holding and reasoning, and any concurrences and dissents.
  • Access in your classes, works on your mobile and tablet. Massive library of related video lessons and high quality multiple-choice questions.
  • Easy to use, uniform format for every case brief. Written in plain English, not in legalese. Our briefs summarize and simplify; they don’t just repeat the court’s language.