RFJ Auto Properties, LLC v. Knipp Real Estate, LLC, Knipp Real Estate II, LLC Fletcher Automotive No. 28, LLC Corwin Imports of Jefferson City, III, Timothy F. Corwin

Missouri Court of Appeals·Decided April 29, 2025·No. WD87304·Published

Opinion

IN THE MISSOURI COURT OF APPEALS WESTERN DISTRICT

RFJ AUTO PROPERTIES, LLC, )

)

Respondent, )

)

v. ) WD87304 )

KNIPP REAL ESTATE, LLC, KNIPP ) Opinion filed: April 29, 2025 REAL ESTATE II, LLC, )

)

Respondents, )

)

FLETCHER AUTOMOTIVE NO. 28, LLC, )

)

Appellant, )

)

CORWIN IMPORTS OF JEFFERSON ) CITY, III, TIMOTHY F. CORWIN, )

)

Respondents. )

APPEAL FROM THE CIRCUIT COURT OF COLE COUNTY, MISSOURI THE HONORABLE COTTON WALKER, JUDGE

Before Special Division: Cynthia L. Martin, Presiding Judge, W. Douglas Thomson, Judge and Joseph M. Ellis, Special Judge

Fletcher Automotive No. 28, LLC (“Fletcher”) appeals from the trial court’s judgment in which the trial court granted summary judgment in favor of RFJ Auto

Properties, LLC (“RFJ Auto”). Because we lack jurisdiction we must dismiss Fletcher’s appeal.

Factual and Procedural History This appeal arises from a lawsuit concerning a commercial lease to a motor-

vehicle dealership. In July 2011, two trusts 1 (“Landlord”) co-owned land upon which a motor vehicle dealership (the “Property”) sat. On July 26, 2011, Landlord and Fletcher, as tenant, executed a commercial lease to the Property (the “Commercial Lease”). The Commercial Lease provided for a term ending August 31, 2021, as well as a rent schedule with a duration of ten years ending on the same date. After executing the Commercial Lease, Landlord and Fletcher executed two amendments to the Commercial Lease (the “First Amendment” and the “Second Amendment”). The First Amendment was executed August 31, 2011, and explained that the purpose of the amendment was for Landlord and Fletcher to “clarify their intent with regard to [Fletcher]’s right to terminate the Commercial Lease in the event Landlord is unable to give [Fletcher] possession of the leased

1 At the time the Commercial Lease was executed, the property was owned by two

trusts: the Ollie Mae Knipp Restated Trust under Trust Agreement dated January 1, 1999, and the Anna Marie Knipp Revocable Living Trust under Trust Agreement dated January 1, 1999 (the “Knipp Trusts”). In 2016, the Knipp Trusts assigned all right, title, and interest in the Property to Knipp Real Estate, LLC. In 2017, Knipp Real Estate, LLC, assigned a portion of its right, title, and interest in the Property to Knipp Real Estate II, LLC (Knipp Real Estate, LLC and Knipp Real Estate II, LLC will be collectively referred to as the “Knipp LLCs”). The parties do not object to this change in Property ownership and the substitution of the Knipp LLCs for the Knipp Trusts in the underlying litigation. The parties do not raise any issues regarding the transfer of Property interests from the Knipp Trusts to the Knipp LLCs. Thus, all references to the Landlord interchangeably refer to the Knipp Trusts and the Knipp LLCs.

premises by September 1, 2011[.]” This stemmed from holdover tenant issues which Landlord had yet to resolve. On May 9, 2012, Landlord and Fletcher executed the Second Amendment, which added “Recitals of Fact” to and amended the “Rent” section of the Commercial Lease for the same holdover tenant reasons. Though the First and Second Amendments did not address the term of the lease, like the initial Commercial Lease the Second Amendment provided for a ten-year duration in the rent schedule, such that it was to end on January 31, 2023.

Landlord was able to deliver possession of the Property earlier than expected. To memorialize the early delivery, Fletcher created and signed a third amendment to the Commercial Lease (“Third Amendment”). The Third Amendment was not executed by Landlord. The Third Amendment purported to amend the “Term” section of the Commercial Lease to an end date of December 31, 2022 as well as to amend the rent schedule’s duration to end on that same date.

On February 5, 2014, Fletcher executed a sublease with Corwin Imports of Jefferson City III LLC (“Corwin Imports”) (the “Corwin Sublease”). The Corwin Sublease was accompanied by a guaranty, providing that Timothy Corwin, individually, would “guaranty the full and prompt payment and performance of the foregoing [Corwin] Sublease and [Commercial] Lease.” The Commercial Lease, the First Amendment, the Second Amendment, and the Third Amendment were attached to the Corwin Sublease as “Collective Exhibit No. 1.” Concurrently, on February 5, 2014, Fletcher, Corwin Imports, Corwin, and Landlord also executed “Subtenant’s Assumption of Fletcher’s Obligations under [Commercial] Lease, and

Landlord’s Consent to [Corwin’s] Sublease” (“Corwin Assumption”) in which all parties acknowledged the rights and obligations of the others. Included in the Corwin Assumption was Fletcher’s acknowledged obligation to ensure Landlord was paid by Corwin Imports, as well as Corwin and Corwin Imports’ agreement to indemnify and hold harmless Fletcher should this event arise.

On March 23, 2015, Corwin Imports, assigned its interest in the Property to RFJ Auto (“RFJ Assignment”). Fletcher was also a party to the RFJ Assignment wherein Corwin Imports granted, transferred, assigned, conveyed, set over, and delivered “all of [its] right, title and interest as [sub]tenant in, to and under the [Corwin] Sublease to [RFJ Auto].” The Commercial Lease, the First Amendment, the Second Amendment, the Third Amendment, the Corwin Sublease, and the Corwin Assumption were attached to the RFJ Assignment. Concurrently, on March 23, 2015, Fletcher, Corwin Imports, and RFJ Auto, along with Landlord, executed a “Consent of Landlord, Assumption & Confirmation of Obligations” (“RFJ Assumption”), and again, all parties acknowledged the rights and obligations of the others. 2 Here, as well, Fletcher obligated itself to ensure Landlord was paid rent by RFJ Auto.

2 Another entity (“the LLC”) was also a party to the RFJ Assumption and the RFJ

Assignment. The RFJ Assumption contemplated a separate sublease from RFJ Auto to the LLC during the pendency of RFJ Auto’s tenancy. RFJ Auto’s sublease to the LLC is not addressed in the parties’ arguments in the summary judgment record nor before this court. Further, no party requested to add the LLC as a party to the underlying litigation, and the LLC is not a party to this appeal. Therefore, all references to the LLC in the summary judgment record are immaterial to our analysis and conclusion.

Thus, the documents associated with this controversy include the Commercial Lease, the First Amendment, the Second Amendment, the Third Amendment, the Corwin Sublease, the Corwin Assumption, the RFJ Assignment, and the RFJ Assumption. Moving forward, we will refer to them collectively as the “Collective Lease Documents.”

RFJ Auto made its rent payments pursuant to the Collective Lease Documents through August 31, 2021. After ceasing payments on this date, the dispute between the parties as to the terms of the various tenancies began. The dispute arose among all parties as a result of the series of continuing obligations and responsibilities. First, lessee Fletcher agreed to pay rent to Landlord. Then, pursuant to the Corwin Sublease, Corwin Imports agreed to pay rent to Landlord, and as sublessor, Fletcher agreed to guarantee sublessee Corwin Imports’ obligations to Landlord. Finally, pursuant to the RFJ Assignment, RFJ Auto agreed to pay rent, and as assignor, Corwin Imports obligated itself for assignee RFJ Auto’s obligations. In short, as long as RFJ Auto paid rent to the Landlord, this elongated set of transactions worked well. When RFJ Auto ceased paying rent at the end of August 2021 at a point when Landlord believed rent should be paid until January 31, 2023, each party responsible for the rent obligations of those parties following it in the chain of transactions allegedly became liable for the unpaid rent, as well as associated responsibilities.

On June 6, 2022, RFJ Auto filed its amended petition for declaratory judgment against Landlord, Fletcher, and Corwin Imports, asking the trial court to

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RFJ Auto Properties, LLC v. Knipp Real Estate, LLC, Knipp Real Estate II, LLC Fletcher Automotive No. 28, LLC Corwin Imports of Jefferson City, III, Timothy F. Corwin, (Mo. Ct. App. 2025).

RFJ Auto Properties, LLC v. Knipp Real Estate, LLC, Knipp Real Estate II, LLC Fletcher Automotive No. 28, LLC Corwin Imports of Jefferson City, III, Timothy F. Corwin (RFJ Auto Properties, LLC v. Knipp Real Estate, LLC, Knipp Real Estate II, LLC Fletcher Automotive No. 28, LLC Corwin Imports of Jefferson City, III, Timothy F. Corwin) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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