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UTICA MUT. INS. CO. v. VIGO COAL CO., INC.

Nos. 04-1015, 04-1107.

393 F.3d 707 (2004)

UTICA MUTUAL INSURANCE COMPANY, Plaintiff-Appellant/Cross-Appellee, v. VIGO COAL COMPANY, INC., William L. Koester, and Betty L. Koester, Defendants-Appellees/Cross-Appellants, and Atlas Minerals, Inc., Walter J. Pieper, Susan S. Pieper, and Charles W. Schulties, Defendants-Appellees.

United States Court of Appeals, Seventh Circuit.

Decided December 20, 2004.

Attorney(s) appearing for the Case

Douglas B. Bates (argued), Stites & Harbison, Jeffersonville, IN, for Plaintiff — Appellant.

G. Daniel Kelley (argued), Ice Miller, Indianapolis, IN, Patrick A. Shoulders, Ziemer, Stayman, Weitzel & Shoulders, Evansville, IN, for Defendants — Appellees.

Charles W. Schulties, Jupiter, FL, pro se.

Before POSNER, KANNE, and ROVNER, Circuit Judges.

POSNER, Circuit Judge.

This diversity suit for breach of a suretyship contract, decided in favor of the defendants after a bench trial, presents questions primarily relating to the contract-law doctrine of "novation," but more broadly to principles of contract interpretation; all the questions are governed by the common law of Indiana.

In 1991 defendant Vigo purchased Buck Creek Coal, which operated a coal mine and was required by both federal and state law...

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