Faye Maples Hall, Individually and As Personal Representative of The Estate of Alie Newman Maples, Deceased v. Park Grill, LLC

This case involves an alleged breach of a lease following the destruction of the building on the leased premises by the November 2016 Gatlinburg wildfires. The original lessor had entered into a lease in 2009 with the lessee, a company that had utilized the building primarily as a storage facility for its restaurants during the lease term. The lessor died in 2017. Acting in her own capacity and as personal representative of her mother’s estate, the lessor’s daughter filed a complaint in July 2019, alleging that the lessee had breached the lease by failing to utilize fire insurance proceeds to restore the building. The plaintiff requested that she be awarded a judgment for either the fair market value of the leased premises or the amount of the fire insurance proceeds. Upon cross-motions for summary judgment and following a hearing, the trial court found that the lease required the lessee to utilize fire insurance proceeds to make repairs only in the event that those repairs could be made within ten working days, which was undisputedly impossible following the fire. The trial court also found that, pursuant to Tennessee Code Annotated § 66-7-102(b), the lessee’s covenant to leave the leased premises in good repair did not obligate the lessee to restore the building absent fault, negligence, or an express agreement to the contrary. The plaintiff has appealed. Discerning no reversible error, we affirm.