The Battle of the Pharmacies

Walgreen operated a pharmacy in a mall in Milwaukee, Wisconsin, owned

by the Sara Creek Property Company. Under Walgreen's lease, Sara Creek

promised not to rent space in the mall to anyone else who wanted to

operate a pharmacy. Several years into the lease, Sara Creek informed

Walgreen that it intended to buy out the anchor tenant in the mall and

install a Phar-Mor discount store in its place. This store would include a

pharmacy the same size as Walgreen's and would be within 200 feet of

the Walgreen's store. The Phar-Mor pharmacy would sell pharmaceuticals

at a deeper discount than that of Walgreen. Walgreen was granted an

injunction against the new lease by the Seventh Circuit Court of Appeals.

Sara Creek appealed, claiming that monetary damages would be a more

appropriate remedy and then the Phar-Mor pharmacy could be allowed to

move in.

1. What is the issue in this case?

2. Do you think monetary damages are an adequate remedy for

Walgreen?

3. What kind of remedy should the court grant Walgreen?