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Case Study: Flowers Factory Outlet entered into a lease with ARD Developers for space located in the warehouse district of the city. The lease was for 10 years. In the lease the following clause was present: "Flowers Factory Outlet may assign the lease to a subsidiary and at the time of the assignment, the tenant herein named shall have no further responsibility under the terms of the lease." With ARD's knowledge, Flowers assigned the lease to Discount Flowers in year 5 of the lease. In year 6 a dispute arose between Discount and ARD causing Discount to stop paying its rent on the lease. Now, ARD wants to sue both Flowers and Discount. Your firm represents Flowers Factory Outlet.
Questions:
a. Thoroughly discuss the possibility of the legal issues that Flowers can raise in its defense.
b. Write a lease between ARD Developers and Flowers Factory Outlet for the warehouse space.
c. Draft a lease between Flowers Factory Outlet and Discount Flowers.
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