Carr-Gottstein Foods Co. v. Wasilla, LLC

After a supermarket tenant's liquor-store subsidiary's separate lease expired, the tenant moved the liquor store into the supermarket space itself with the landlord's active assistance (including electrical work) and no objection, continuing to report liquor sales monthly for rent calculation purposes; the landlord even certified to a bank in 1998 that the leases weren't in default, and in 1999, when Safeway (which had acquired the tenant) asked the landlord to certify no default existed, the landlord declined to sign but still didn't say the lease was in default. Only in 2002 did the landlord (plaintiff) send a default letter and sue the tenant, Safeway, and the liquor subsidiary (defendants) for lease breach; the trial court ruled for the landlord, and the defendants appealed.