The Shaughnessys (P) entered into an oral lease with Eidsmo (D) for a house for one year. P also was given an option to purchase the house at the end of the lease. The agreement provided that, should P exercise the option, they would receive a credit in the amount of rent paid during the lease toward the purchase price. Before the expiration of the lease term, P notified D that they intended to exercise their option to purchase, and demanded that D deliver a contract for the deed. D assured P that his word was good, but did not deliver the contract. At the time the agreement was made, the house was subject to a mortgage. The parties' agreement did not address whether P would buy the property subject to the mortgage. P sued for specific performance on the option to purchase. D contested P's factual allegations regarding the option to purchase. The court found for P. D appeals from denial of his motion for a new trial.

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