Gansen v. Gansen
Annotate this CaseAt issue in this case was whether the terms of two five-year leases, which automatically self-renewed for four additional five-year terms unless the tenant unilaterally opted out of the lease, offended Iowa Const. art. I, 24. James Gansen rented land used for agricultural purposes from the Charles Gansen Trust until the trustee unsuccessfully attempted to negotiate a higher rent from James. The trustee filed a petition for declaratory action, alleging, inter alia, that the leases violated Iowa Const. art. I, 24, which provides that no lease of agricultural lands “shall be valid for a longer period than twenty years.” The district court granted summary judgment in favor of the Trust, concluding that the leases violated article I, section 24. The Supreme Court affirmed, holding (1) although prior litigation took place between the parties involving the same agricultural leases, claim preclusion did not apply to bar the Trust’s claim that the leases violated the Iowa Constitution; and (2) the leases at issue violated article I, section 24 to the extent they remained in effect after the passage of twenty years from their inception.
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