DONALD RUSSELL, Circuit Judge:
This is a diversity breach of contract action by G & C Construction Co., a Virginia corporation (hereafter G & C) against St. Paul Fire & Marine Insurance Co., a Minnesota corporation (hereafter St. Paul), for punitive as well as actual damages. G & C claimed bad faith denial of its contractual rights as the basis for punitive damages. St. Paul refused recovery for losses suffered by G & C as a result of diversion...
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