Raypath, Inc. And Lake Otis, Inc. v. City of Anchorage

Raypath, Inc., and Lake Otis, Inc., appellants, appeal from summary judgment in favor of the Sisters of Providence in Washington, appellee (“the Sisters”). Raypath also appeals from an order awarding attorneys’ fees to the appellee.

The appellee is a charitable, nonprofit corporation which owns and operates the Providence Hospital in Anchorage, Alaska. The hospital complex is built on land purchased from the United States under 43 U.S.C. §§ 869 et seq. Appellants, business corporations which own commercial office buildings in Anchorage, contend that they suffered economic injury to their rental businesses becaúse the Sisters engaged in various unfair acts. More specifically, appellants contend that they were harmed because the Sisters constructed a separate office building as part of a hospital complex and offered office suites on more attractive terms and in a better location than those offered by appellants. Appellants brought this action in state court seeking both an injunction requiring the Sisters to halt construction of the office building, and damages for unfair competition and tortious interference with prospective advantage. The case was removed to the United States…