Harry D. Bledsoe and Annie L. Bledsoe - Page 5

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            both petitioner and Ms. Bledsoe, and she was granted the entire                             
            three-fourths interest in the adjacent land.  She was thus                                  
            required to assume liability for a note and mortgage on that land                           
            which was payable to Resthaven.                                                             
                  In 1983, after Ms. Bledsoe did not make certain payments,                             
            Resthaven sued her to recover the $14,250 due on the note and to                            
            foreclose the mortgage.  She counterclaimed, alleging that                                  
            Resthaven had not paid her certain amounts to which she was                                 
            entitled under the land option contracts, and that she was not                              
            provided with her annual accounting to which she was entitled.                              
            In its 1983 petition with the District Court of Sedgwick County,                            
            Kansas, Resthaven based its claim on the 1981 divorce decree and                            
            alleged that Ms. Bledsoe had failed to comply with the divorce                              
            decree.  Resthaven's proceeding was ultimately consolidated with                            
            the divorce proceeding; both cases were resolved in 1989.  The                              
            State appellate proceedings, to which the legal fees relate,                                
            concerned the property division between petitioner and Ms.                                  
            Bledsoe.  For instance, the court was to determine the value of                             
            certain property awarded to Ms. Bledsoe and her rights under the                            
            divorce decree.                                                                             
                  During 1987 and 1988, Resthaven paid the consolidated                                 
            litigation legal costs in the amounts of $88,199 and $37,419,                               
            respectively.  The legal costs included payments for the divorce                            

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