R. LANIER ANDERSON, III, Circuit Judge:
This is a diversity of citizenship action in which the appellants, Tony and Martha Garcia, sought to recover the proceeds of a fire insurance policy covering their home and furnishings issued by the appellee, Aetna Casualty and Surety Company ("Aetna"). At trial Aetna raised a number of defenses which are reduced to these three: (1) that the Garcias materially misrepresented the value of their house in their application for...
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