Hendricks v. Lake

This appeal brings in issue the enforceability of a restrictive (noncompetition) covenant contained in an unrecorded shopping center lease. The trial court allowed plaintiffs (Hendricks) an injunction against the following defendants, all of whom are appellants:(1) the bona fide purchaser (Forstrom) of a leasehold estate on adjoining property outside plaintiffs’ chain of title;(2) Forstrom’s lessor (Palmer), who did not have actual knowledge of the encumbrance, but who had both an ownership interest in and some prior management connection to a portion of the property described in the…