Legal Environment 5th Edition by Jeffrey Beatty,Susan Samuelson

Exercise 4

The Dukes leased land from Lillian Whatley. Toward the end of their lease, they sent Ms. Whatley a new contract, renewing the lease for three years and giving themselves the option to buy the land at any time during the lease for $50,000. Ms. Whatley crossed out the clause giving them an option to buy. She added a sentence at the bottom, saying, "Should I, Lillian Whatley, decide to sell at end [sic] of three years, I will give the Dukes the first chance to buy." Then she signed the lease, which the Dukes accepted in the changed form. They continued to pay the rent until Ms. Whatley sold the land to another couple for $35,000. The Dukes sued. Are the Dukes entitled to the land at $50,000? At $35,000?