Wells Fargo Bank v. Bank of America (1995) 32 Cal.App.4th 424

The Court of Appeal held that a tenant’s assignment of a 95-year commercial lease constituted a novation. The result was to resurrect the lease’s “gold clause” price indexing mechanism that had been outlawed in depression-era legislation, but made legal again by 1977 federal statute – thus allowing GMSR’s clients to recover market rent on their property for the first time in over sixty years.

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