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CONTINENTAL BANK & TRUST CO. v. AM. BONDING CO.

No. 78-1894.

605 F.2d 1049 (1979)

CONTINENTAL BANK & TRUST COMPANY, as Trustee for the Lot Purchasers, Appellee, and Calwood Leisure Association, Inc., Donald L. Ewens, Harold D. Barnhard, Appellees, v. AMERICAN BONDING COMPANY, Appellant, v. CALWOOD LEISURE ASSOCIATION, INC., Appellee, v. Richard D. WALKER, John W. Markham, Systems Leisure Properties, Inc., and Camp Leisure Lake, Inc., Appellees.

United States Court of Appeals, Eighth Circuit.

Decided August 29, 1979.

Rehearing and Rehearing Denied October 3, 1979.

Attorney(s) appearing for the Case

David M. Duree, Leritz & Reinert, Francis L. Kenney, Jr., St. Louis, Mo., for appellant.

John R. McFarland, Joseph A. Kral (argued), and Kenneth W. Bean of Coburn, Croft, Shepherd, Herzog & Putzell, St. Louis, Mo., and Robert C. Smith, Jr. (argued), and Bruce H. Beckett of Smith, Lewis & Rogers, Columbia, Mo., on brief for appellees.

Before ROSS, STEPHENSON and HENLEY, Circuit Judges.

Rehearing and Rehearing En Banc Denied October 3, 1979.

ROSS, Circuit Judge.

Defendant American Bonding Company (American, the surety) denies liability on five performance bonds which it executed in May 1973 in connection with a land development project, Leisure Lake Subdivision, in Callaway County, Missouri. The bonds guaranteed the performance by Systems Leisure Properties, Inc. (Systems, the principal) of obligations...

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