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Z Lisa F. Brown, Esq. July 29, 1988 Page 3 nothing in these sections imposes a duty on a landlord to assume liability for abandoned trade fixtures of no value to the landlord. A contrary rule would allow a tenant to create "waste" on a landlord's property: a tenant could abandon its leasehold at the close of the lease, leaving unwanted fixtures as a liability to the landlord that the landlord had no right to reject. Mr. Hoslett's arguments that the Port "accepted the keys" to the EP property do not establish the Port's liability and, indeed, only strengthen the case against the Bank. Mr. Hoslett fails to provide any authority that the alleged act of accepting the keys legally constituted any sort of transfer of ownership of EP's fixtures to the Port. Even if passing the keys did constitute a transfer of ownership, the Port received the keys from the Bank. By the Bank's own admission, then, it must have received ownership of the tanks when it obtained the keys from EP. Moreover, EP's bankruptcy shielded its property from foreclosure and prevented the Port from assuming ownership of any of EP's property, even if the Port had wanted to assume ownership of such property. In contrast, the Bank obtained permission from the bankruptcy court to assume possession of EP's assets, including the tanks. In answer to the questions in your July 8, 1988 letter to Gary Allen, EP leased the property from the Port for more than twelve years commencing on January 6, 1975. EP installed the tanks during its tenancy. We anticipate your prompt response to the EP problem, as well as to the situation at the Industrial Services Corporation ("ISC") site. The Port reiterates its position that it will cooperate fully in the resolution of these matters as long all parties who may be liable help bear the responsibility for needed actions. We look forward to hearing from you, and please do not hesitate to call me or Gary Allen if you have any questions. Ver truly yours, 7 Steven P. McDonald DORAZIO, BARNHORST & BONAR GGA:jln 34/1051: 01