A farm called Peter Peter Pumpkin Eater had for years hosted…
A farm called Peter Peter Pumpkin Eater had for years hosted popular pumpkin patch tours on the farm, outside of town. Interested in expanding the business to bring the pumpkin patch tour experience into the city, the farm owner, Peter, had his eye on a large empty lot at a prominent town intersection. Peter started to talking to Dee, the owner of the empty lot, about renting it. Peter spent $1,000 to run ads on social media, advertising the new pumpkin patch tour location on that city lot. Peter then entered into a valid enforceable contract with Dee to rent the lot for two weeks in November for $20,000. At contract formation, Peter told Dee that if the new pumpkin patch tour business venture went well, he would like to come back to rent the same space later in the year around Christmas. Although Peter’s farm specialized in growing pumpkins and apples, Peter thought to himself that he ought to sell Christmas trees on the city lot in December and that he would advertise all over the pumpkin patch to tell folks of the Christmas tree sale, so that the same customers would know of it and come back for the Christmas trees. Peter paid Dee $5,000 right away in accordance with the contract, with the balance to be paid at the conclusion of the lease. Peter spent another $2,000 for advertising. On the morning of first day of the lease, Peter and his farmhands drove into the lot to set up, bringing with them dozens of pumpkins, bales of hay, and other accoutrements for the tour. Dee told them that she was sorry to renege on the contract; the lot was not available anymore. She has since leased it for a higher rent to organizers of a pop-up two-week matcha festival. She offered Peter another one of her empty lots in town. The location was not as visible, but Peter was welcome to it. Peter declined. Peter and his farmhands drove back up to the farm and ended up only running their usual in-farm pumpkin patch tours that autumn. Peter sued Dee, alleging that he was entitled to a $15,000 profit from the city pumpkin patch tour and to a $10,000 profit from the Christmas tree sales. Peter showed that each year, he made a $15,000 profit from running pumpkin patch tours at his farm. Dee called your firm to ask for legal advice. You are an associate attorney at the firm. Your partner asked you to write him a memorandum on the issue of remedies.
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