MICHAEL RING and FRANK RING, as tenants in common, Plaintiffs, -- against -- MPATH INTERACTIVE, INC., HEARME, and GAMESPY INDUSTRIES, INC., Defendants., 302 F. Supp. 2d 301

Summary

The tenant, after selling a large portion of its assets to the assignee, attempted to assign its lease to the assignee, but the landlords resisted. The lease provided that the landlords could not unreasonably withhold their consent to the assignment if the tenant provided the assignee's name and reasonable financial information, which the tenant did provide. The assignee did not alter in any way the business on the premises. The landlords attempted to negotiate an independent lease with the assignee for a higher monthly rent, instead of an assignment. After first rejecting the rent checks tendered by the assignee, the landlords accepted the checks under protest and without prejudice to their rights. After the landlords threatened eviction, the tenant vacated the premises before the end of the lease term. The court held that, based on a no-waiver provision in the lease, the landlords did not waive their right to withhold consent to the assignment by accepting rent checks from the ...