Peoria Associates Ltd. Partnership v. Best Buy Co.

MEMORANDUM OPINION AND ORDER

ASPEN, Chief Judge.

This is a case redolent of a first-year Contracts exam. A retailer wishes to rent space and enters into negotiations with a leasing company. The retailer delivers a signed letter of intent, which specifies that its terms “are binding ... upon full execution hereof and shall not be altered in the lease” but states that “no contract shall exist until a formal lease is executed.” The leasing company makes some changes to the terms of the letter and signs it; the retailer does not re-sign but orally agrees to the changes. The parties continue their…