Opinion ID: 786739
Heading Depth: 2
Heading Rank: 2

Heading: Validity of Third Amended Lease

Text: 10 Plaintiffs argue that the third amended lease is invalid and unenforceable due to the fact that the lessor and lessee of the property did not get the written consent of the mortgagees before amending the lease, as required under the assignments of rents. We disagree. 11 1.) Validity of Third Amended Lease as it Relates to Plaintiff — Lessor Marion Castellano 12 The facts show that Marion Partners, who originally executed the third amended lease, was a predecessor in interest to Marion Castellano. Being the successor in interest, Marion Castellano is bound by the terms of the third amended lease. Sweeting v. Campbell, 2 Ill.2d 491, 119 N.E.2d 237, 240 (1954). For the sake of fairness, we note that there is nothing to indicate that Marion Castellano did not know of the third amended lease when he acquired the property. In fact, the lease was discussed in a case between J.D. Castellano, Marion and Roberta Castellano's son, and Marion Partners which was decided in 1990. Castellano v. Marion Partners, 1990 WL 357916, at -6 (S.D.Ill.1990). It should also be noted that the original complaint and the first and second amended complaints named J.D. Castellano, as sole beneficiary of the V.P. Land Trust, as a Plaintiff. And, as Plaintiffs themselves note, from an equitable standpoint, it would have been unjust for someone directly responsible for signing the document to now claim that the signature was ineffective. We agree. And since Marion Castellano is a successor in interest, he is, legally speaking, directly responsible for signing the third amended lease. Sweeting, 119 N.E.2d 237, 2 Ill.2d 491, 496-97. 13 2.) Validity of Third Amended Lease as it Relates to Plaintiff — Mortgagee Roberta Castellano 14 Plaintiffs assert that because the mortgagees did not consent to the third amended lease, it is unenforceable. This argument fails. As discussed above, J.D. Castellano knew of the third amended lease as far back as 1990. At that time, he was the holder of the wrap around mortgage. 2 Castellano, 1990 WL 357916, at , 3. J.D. Castellano and his successor in interest, Roberta Castellano, continued to accept the assigned rent payments with knowledge of the third amended lease. By knowingly accepting the benefits of the third amended lease for such a substantial period of years, the mortgagee acquiesced to the terms of that lease. See Maher & Assocs. v. Quality Cabinets, 267 Ill.App.3d 69, 203 Ill.Dec. 850, 640 N.E.2d 1000, 1007 (1994) (A contract is validly modified if the party which did not propose the changes is shown to acquiesce in the modification through a course of conduct consistent with acceptance.). Furthermore, it was stipulated in the Final Pretrial Order that Roberta Castellano did not have standing to assert a claim for breach of contract against Wal-Mart. 15