Alaska Fur Gallery, Inc., Appellant v. Tok Hwang, Appellee

Summary

The Alaska Supreme Court affirmed summary judgment against Alaska Fur, holding that the lease provision mentioning an option to purchase the leasehold was too indefinite to enforce as either a purchase option or an agreement to negotiate. The provision supplied neither a purchase price nor a method for determining one, and it provided no workable process for resolving negotiation disputes or determining breach and remedies. Because no enforceable contractual duty existed, Hwang did not violate the implied covenant of good faith and fair dealing by refusing to negotiate or sell.