Al-Madinah Petroleum, Inc. v. Mahsa, Inc.

Phipps, Judge.

Al-Madinah Petroleum, Inc. leased a gas station/convenience store to Mahsa, Inc. for 20 years. The lease obligated Mahsa to insure *571the property against casualty loss but also authorized Al-Madinah to obtain the insurance if Mahsa failed to comply with its leasehold obligation. Either party could cancel the lease if the building was destroyed to the extent of 50 percent or more of its value. Was Mahsa authorized to cancel the lease after a tornado damaged the store? Did an insurance policy obtained by Al-Madinah relieve Mahsa of its obligation to procure casualty insurance? These…