This section contains the nature of the case and procedural background.

Loveless (P) owned a farm and leased it to Diehl (D) for three years. The lease included an option to buy the land for $21,000. D could not buy the land and sought someone else to buy the property from them for a higher price before the option expired. D found a Dr. Hart who was willing to pay $22,000 for the property. P got wind of the D-Hart trade and informed everyone that they would not honor the option agreement. D sued for specific performance. The trial court found that P owed D the $1,000 lost from the Dr. Hart sale and that P was due $1440.95 with interest less from D for a milking machine. Both parties appealed.

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