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CITIZENS & SOUTHERN NAT. BANK v. AMERICAN SURETY CO. OF N. Y.

No. 21429.

347 F.2d 18 (1965)

The CITIZENS AND SOUTHERN NATIONAL BANK, Appellant, v. AMERICAN SURETY COMPANY OF NEW YORK, Appellee.

United States Court of Appeals Fifth Circuit.

June 8, 1965.

Attorney(s) appearing for the Case

Daniel B. Hodgson, Michael A. Doyle, Atlanta, Ga., for appellant, Alston, Miller & Gaines, Atlanta, Ga., of counsel.

J. Clifton Barlow, Jr., Hugh M. Dorsey, Jr., Atlanta, Ga., for appellee, Hansell, Post, Brandon & Dorsey, Atlanta, Ga., of counsel.

Before WISDOM and GEWIN, Circuit Judges, and BREWSTER, District Judge.

WISDOM, Circuit Judge:

This diversity case raises a small, slippery question of Georgia law concerning the relative rights of two banks, both hoodwinked by a forger who used an innocent depositor's checking account as a conduit for fraud. The district court awarded summary judgment to the plaintiff, American Surety Company, insurer of the bank that paid over the first forgery, shifting the loss to the defendant, Citizens and Southern National Bank, which paid over...

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