Duty to Mitigate Damages Doesn't Require Landlord to Sell Property

What Happened: After signing a 10-year lease with a health clinic, a landlord put the property on the market for sale as “net lease investment,” meaning there was a tenant already in place. The tenant then defaulted just three years into the lease. Invoking the acceleration clause, the landlord sued for the seven years of rent remaining. The landlord then declined two below-asking price offers on the property. The tenant claimed that in rejecting the offers, the landlord failed to mitigate its damages.