Cohen v. Thomas & Son Transfer Line, Inc.

Thomas & Son Transfer Line (plaintiff) leased land for a truck terminal under a five-year lease with a right of first refusal and renewal option, then continued occupying the land on a renewed basis after the original term expired, with the lessor continuing to accept rent; the unrecorded lease's right-of-first-refusal term was set off from the main body of the lease. When the lessor sold the property to the Cohens (defendants), who knew of Thomas's presence and were told (incorrectly) it was only a month-to-month tenancy, Thomas protested and sued after learning of the sale, and the trial court found the lease was renewed but the separately set-off right of first refusal was not; the court of appeals reversed, finding the right of first refusal was renewed too, and the Cohens sought certiorari.