McDonald's Corp. v. BOARD OF SUPERVISORS OF MENDOCINO COUNTY

Opinion

KLINE, P. J.

The Board of Supervisors of Mendocino County appeals from a judgment requiring it to refund a documentary transfer tax paid by McDonald’s Corporation in connection with the extension of a long-term lease. The question on appeal is whether the trial court correctly determined the lease was not of sufficient duration to be subject to the tax.

Statement of the Case and Facts

On March 30, 1972, McDonald’s Corporation (McDonald’s) entered into a lease for property in Ukiah for a term of twenty-one years, expiring on June 1, 1993, with three renewal options of five years each. In…