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IN RE VISTA MEDICAL INVESTORS, LTD.

Adv. No. C87-0766-H11, Bankruptcy No. 84-02331-H11.

98 B.R. 29 (1989)

In re VISTA MEDICAL INVESTORS, LTD., a California limited partnership, Debtor. TRI-CITY MEDICAL-SURGICAL PARK ASSOCIATION, a California nonprofit mutual benefit corporation, William F. Maloney, Joel M. Heiser, Susan M. Heiser, Frank E. Corona, Mary Kathleen Corona, Martin M. Nielsen, Loren Susan Nielsen, Cairo A. Salvatierra, Regg V. Antle, Annette J. Antle, Jon Shafquat, Marc J. Lebovits, Cathy N. Lebovits, Maurice P. Sherman, Judith M. Sherman, Robert J. Nebrosky, Sandra S. Nebrosky, Deborah Young, Bernard Marcus, Lee T. Nordan, First Federal Savings and Loan, a federally chartered savings association, Plaintiffs, v. Penelope H. BURCH, Vista Medical Investors, Ltd., a limited partnership, John P. Landry, James L. Mann, John P. O'Meara and Ronald Sutter, Trustee for Debtor, Defendants.

United States Bankruptcy Court, S.D. California.

March 13, 1989.

Attorney(s) appearing for the Case

Schall, Boudreau & Gore, San Diego, Cal., for Tri-City Medical-Surgical.

Procopio, Cory, Hargreaves & Savitch, San Diego, Cal., for Burch.

Page, Tucker & Brooks, San Diego, Cal., for trustee, Sutter.

JOHN J. HARGROVE, Bankruptcy Judge.

At issue is whether sublessees to a ground lease are in sufficient privity of contract with the original ground lessor to be entitled to an award of attorneys' fees and costs from the ground lessor as prevailing parties in an action for declaratory judgment, or whether sublessees are entitled only to an award of fees from the sublessor.

Plaintiffs claim that the ground lease provides that the prevailing party is entitled...

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