Targeting the 2nd Highest HP

Had a fundamental disagreement with my gaming group last night.  Simplified situation:

Hero A has 10 hp

Villain B has 10 hp

Hero C has 9 hp.

 

Environment card says "deal the non-environment target with the 2nd highest HP 1 damage"

I'm convinced that Hero C is the target with the 2nd highest HP.  My group insists that because two targets (Hero A and Villain B) are tied for highest hp, one of those two has to be the target with the 2nd highest HP.

What's the answer?

Hero A and Villain B are tied for the highest and second highest HP.

So then, presumably, the players would deal the Villain target the damage?

In most cases, yes.

We're on to you Ronway. We know you'll hit the hero.

Also coming soon to a post near you:

Highlander rule: there can be only one target with the highest HP. If two targets are tied, the players decide which is the highest and which is the second highest.

Wouldn’t the Highlander rule require on of them to cut off the head of the other?

Also wouldn't it mean that If the Highlander rule is invoked a 2nd or 3rd time, it has to be ignored to retain the quality of the first Highlander?

Lol!  There should have been only one!

I have been wondering about this for a while.  Guess we were playing it wrong.