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FARMERS & MERCHANTS STATE BANK v. WESTERN BANK

Nos. 84-4277, 85-4339.

841 F.2d 1433 (1987)

FARMERS & MERCHANTS STATE BANK, an Idaho Banking Corporation, Plaintiff-Appellee, v. WESTERN BANK, an Oregon Banking Corporation, Defendant-Appellant.

United States Court of Appeals, Ninth Circuit.

Decided August 19, 1987.

Amended January 11, 1988.

Attorney(s) appearing for the Case

James E. Risch, Boise, Idaho, and Bernard J. Nussbaum, Chicago, Ill., for plaintiff-appellee.

John Whitty, Coos Bay, Or., and John R. Faust, Jr., Portland, Or., for defendant-appellant.

Before SKOPIL, NELSON and BOOCHEVER, Circuit Judges.

NELSON, Circuit Judge:

Western Bank ("Western") appeals from a decision of the district court, holding it liable to Farmers & Merchants State Bank ("F & M") in the amount of $708,133.07 plus interest, costs, and attorney's fees. Both banks were victims of a check-kiting scheme. F & M brought this diversity action to recover from Western the amount of a cashier's check drawn by and on Western, payable to an F & M customer. Western issued the check to...

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