Western Properties v. Southern Utah Aviation, Inc.

776 P.2d 656 (1989)

Facts

Western (P) leased land from Cedar City. P, in turn, subleased land to Southern (D) for a 15-year term beginning March 6, 1985, with a covenant that Ds shall construct on the premises a maintenance building upon which upon termination of the lease was to become property of P. Cedar City approved the sublease. Ds thereafter applied to Cedar City for site plan approval for the maintenance building. As of the time of trial, D had not obtained approval. Ds defaulted on the rent and abandoned the property on June 27, 1986, without constructing the building on the land. P sued D for unpaid rent and the value of the maintenance building. The trial court gave partial summary judgment on the rent accrued to the date of the abandonment but reserved issues of further damages. The trial court, after trial dismissed the remaining charges for rent and the residual income value of the maintenance building. P appealed. Ds cross-appealed from the earlier summary judgment. The trial court based its ruling on the doctrine of impossibility.