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Posted by: Tanja Trezise on Apr 21, 2015

Head Comment: CORRECTION: The opinion entered in this case shall be revised to remove footnote 2 in its entirety.

Court: TN Court of Appeals

Attorneys 1:

David A. Stuart, Clinton, Tennessee, for the appellant, Trails End Campground, LLC.

Attorneys 2:

Vic Pryor, Jacksboro, Tennessee, for the appellee, Brimstone Recreation, LLC.

Nathan D. Rowell and Brian R. Bibb, Knoxville, Tennessee, for the appellee, Town of Huntsville, Tennessee.

Judge(s): SUSANO

The plaintiff, Trails End Campground, LLC (Trails End) and the defendant Brimstone Recreation, LLC (Brimstone) are competitors in an outdoor recreation-oriented market in and around Scott County. In 2012, the defendant Town of Huntsville executed a lease with Brimstone giving it “the exclusive use, control and enjoyment” of a centrally-located open area in the town, sometimes referred to as Town Square, during the weeks prior to and including Memorial Day and Labor Day. Trails End brought this action alleging (1) that the Town acted without authority under its charter to execute such a lease; (2) that it created a perpetuity and monopoly in violation of the state constitution; and (3) that it violated the Tennessee Trade Practices Act (TTPA), Tenn. Code Ann. § 47-25-101 to -112 (2013). The trial court granted the defendants summary judgment. We hold (1) that, under its charter, the Town had authority to enter into the lease, (2) that the lease does not create an unlawful monopoly or perpetuity, and (3) that the TTPA is not implicated by the facts of this case. The judgment of the trial court is affirmed.