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Municipal : Lease Agreement – Option To Renew – Attorney’s Fees

Where a city and a tenant, which constructed an air cargo facility at the airport, disputed the meaning and validity of a clause in their lease agreement, the trial court properly found that the option to renew clause would not violate the city charter because the renewal would not result in a lease longer than 50 years, but the court erred to the extent that it declared that the renewal provision granted the air cargo facility a right to renew the lease perpetually, so the matter is reversed and remanded on that issue, and attorney’s fees should also be determined on remand if the court finds that special circumstances exist.

Judgment is affirmed in part; reversed in part; remanded.

K.C. Air Cargo Services, Inc. v. City of Kansas City (MLW No. 70256/Case No. WD79786 – 20 pages) (Missouri Court of Appeals, Western District, Welsh, J.) Appealed from circuit court, Jackson County, Midkiff, J. (Dorothy Campbell, Kansas City, Missouri, for appellant) (Christopher Shank and Stephen Moore, Mission Woods, Kansas, for respondent).

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