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RACHMAN BAG CO. v. LIBERTY MUT. INS. CO.

No. 90 CV 2412 (ERK).

839 F.Supp. 998 (1993)

RACHMAN BAG COMPANY, a Partnership Composed of Plains Bag and Bagging Co., Inc., and Rachman Bag Co., Inc., Plaintiff, v. LIBERTY MUTUAL INSURANCE COMPANY, Defendant.

United States District Court, E.D. New York.

December 15, 1993.

Attorney(s) appearing for the Case

Neal Factor, Factor & Shweky, New York City, for plaintiff.

Kimberly S. Penner, Sedgwick, Detert, Moran & Arnold, New York City, for defendant.

MEMORANDUM AND ORDER

KORMAN, District Judge.

Plaintiff Rachman Bag Co. ("Rachman") brought this action against Liberty Mutual Insurance Co. ("Liberty") seeking to enforce a surety bond issued by Liberty which names plaintiff as obligee. Both sides have moved for summary judgment. The issue presented by this case is when, if at all, an obligee of a suretyship contract must disclose to its surety facts known to...

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