So I just read the complaint filed by Eastgate Theatre, Inc against Cypress Equities. My feeling is that they don't have a winning case.
Under the 1985 contract Regal leases the land under their theater, but not the adjacent parking lot. They have 11 years left on this lease, which is almost certainly why the project is now split up into two phases. Under an amendment to the lease, made in 1986, the Lloyd Center guarantees that "parking that Landlord has available for customers and patrons of Lloyd Center will also be available for utilization, on a non-exclusive and first-come, first- served basis, by patrons of the theater..." It doesn't say anywhere that this has to be the parking provided directly adjacent to the theater. By my reading if they allow Regal patrons to park across the street in the Lloyd Center itself they're meeting the letter of the contract. A lawyer friend of mine says that there is an argument to be made under the concept of negotiating in
good faith, however it's a weak one and the mall would probably win in court. Perhaps more likely is that an out-of-court settlement will be reached.