Wilson v. Grey

In Wilson v. Grey (Ky. 1978) 560 S.W.2d 561, the Supreme Court of Kentucky held that a sale from one co-owner to another did not trigger the right of first refusal clause in a lease agreement. The agreement stated in pertinent part: "Should lessor ever desire to sell the leased premises lessees are given the right to purchase the same at the price which lessor has been offered for the premises." (Ibid.) When the original lessor died, the premises were inherited by her sons and daughter-in-law. (Ibid.) One son sold his interest to the other son. (Ibid.) The court reasoned that when the lease was executed there was only one lessor, and that a sale could only be made to someone other than the lessor. When the lessor died, her heirs became the collective lessor, and a sale from one to the other was not a sale to a person other than the lessor. ( Id. at p. 562.)