Shields Limited Partnership v. Bradeberry

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Waiver of a nonwaiver provision cannot be anchored in the same conduct the parties specifically agreed would not give rise to a waiver of contract rights. The long-term tenant in this forcible-detainer action frequently defaulted on the lease’s rental payment terms. The commercial landlord, however, regularly accepted, without protest, the tenant’s rental payments when tendered. A contractual nonwaiver provision provided that the landlord acceptance of rent past due “shall not be a waiver and shall not estop Landlord from enforcing that provision or any other provision of [the] lease in the future[.]” In this forcible-detainer action, the landlord sought to oust the tenant, claiming a superior right of immediate possession under a lease-extension option. The tenant, in turn, asserted that the landlord’s conduct in accepting late rental payments waived the contractual nonwaiver clause. Thus, the Supreme Court reversed the court of appeals’ judgment rejecting the landlord’s forcible detainer action and rendered judgment in the landlord’s favor because the landlord did not act inconsistently with the contract’s express terms and because the tenant failed to identify any evidence supporting an equitable-estoppel bar to eviction. View "Shields Limited Partnership v. Bradeberry" on Justia Law