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  5. 17 N.Y.2d 51 (1966)
 

E. P. REYNOLDS, INC. v. NAGER ELEC. CO.

17 N.Y.2d 51 (1966)

E. P. Reynolds, Inc., Plaintiff-Respondent, v. Nager Electric Company, Inc., Defendant-Appellant and Third-Party Plaintiff-Appellant. Massachusetts Bonding & Insurance Company, Third-Party Defendant-Respondent. (And Another Third-Party Action.)

Court of Appeals of the State of New York.

Decided February 17, 1966.

Attorney(s) appearing for the Case

Jerrold Morgulas and Alfred Foreman for appellant.

Alfred J. Klein for respondent.

Chief Judge DESMOND and Judges FULD, VAN VOORHIS, BURKE, SCILEPPI and BERGAN concur.

KEATING, J.

This case reaches us in an unusual posture.

The respondent has recovered a judgment for damages arising out of false representations which induced it into a construction contract with appellant. The appellant's counterclaim for completion cost of the construction in excess of the contract price and the third-party claim against the surety on respondent's performance bond have been disallowed...

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