Celadon brought an application seeking a declaration that Hoss exercised an option to purchase a leased commercial property on Celadon's behalf, pursuant to an Asset Purchase Agreement.
Hoss brought a separate application seeking an order requiring the landlord, Turoczi, to transfer the property to Hoss pursuant to the option.
The court found that Celadon failed to exercise its discretion to require an assignment of the lease within a reasonable time, that there was no equitable assignment of the lease, and that a subsequent Release Agreement terminated any right Celadon had to the lease.
The court also found that Hoss was in good standing under the lease when it exercised the option to purchase.
Celadon's application was dismissed, and Hoss's application was granted, ordering Turoczi to transfer the property to Hoss.