Helzberg's Diamond Shops v. Valley West Des Moines Shopping Center

564 F.2d 816 (1977)

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Nature of the Case

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Facts

Helzberg's (P), a jewelry store, leased space in Valley West's (D) shopping center. The lease agreement provided that no more than one other similar store would be allowed to rent space in the mall. D leased space to a third jewelry store called Lord's. Lord’s lease allowed them to be a retail specialty jewelry store and not as a catalog or full line jewelry store as was called for in P’s lease as well as the restrictions with P’s lease. Despite these semantics, Lord’s intended to open a full line jewelry store. P sued to enjoin the lease and to permanently enjoin D from breaking the lease provisions. P sued in federal District Court under 28 USC 1332 based upon diversity of citizenship between the parties and an amount in controversy of more than $10,000. P served D pursuant to a Missouri long-arm statute. D moved to dismiss under Rule 19 on the ground that Lord's was not joined and was an indispensable party. P sued in district court in Missouri and could not obtain personal jurisdiction over Lord's, which had no Missouri contacts. The court enjoined D from breaching the lease and denied D's motion, and D appealed.