Funk v. Funk

Ewald and Pearl Funk (lessors) (plaintiffs) leased farmland to Melvin and Diane Funk (lessees) (defendants) under a 10-year lease requiring the lessors' consent before subletting. When the lessees sought to sublet for one year, offering to prepay both lease installments and supervise the subtenant's farming practices, the lessors refused, apparently because they believed the existing rent was below market value, and later offered to allow a sublease only if the lessees paid property taxes, split the sublease proceeds, and ended the lease a year early. The lessees told the lessors they would not sublease, but then did so anyway; the lessors sent a notice of termination, the lessees refused to vacate, and the lessors sued for a declaratory judgment that the lease had terminated. The trial court granted the lessees' motion for summary judgment.