Tenancy at Sufferance Damages. S&V Liquor, Inc., leased commercial retail space from the Charles Downey Family Limited Partnership for fi ve years at a monthly rent of $3,333.33. The lease provided that S&V could renew for another fi ve years if it gave Downey notice of intent to renew no later than 120 days before the lease expired. S&V did not send notice of intent to renew when the lease was coming to an end. Downey sent a letter offering to renew the lease at a new rate of $9,167.67 per month. S&V did not respond. Five days before the lease was to expire, S&V wrote that it intended to remain as a tenant for another six months, after which, it would move to a new location.

Downey refused and sued S&V for damages of $9,167.67 per month during the six-month period, rather than the original rent paid by S&V. The trial court awarded Downey monthly rent at the original rate for the six-month period. Downey appealed, contending that it should have been awarded the higher lease rate as damages. Which monthly rental rate should apply? Why? [Charles Downey Family Limited Partnership v. S&V Liquor, Inc., 880 N.E.2d 322 (Ind.Ct. App. 2008)]