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FIRST INTERSTATE BANK v. SMALL BUSINESS ADMIN.

No. 87-4254.

868 F.2d 340 (1989)

The FIRST INTERSTATE BANK OF IDAHO, Plaintiff-Appellant, v. The SMALL BUSINESS ADMINISTRATION and James C. Sanders, Administrator, Small Business Administration, Defendants-Appellees.

United States Court of Appeals, Ninth Circuit.

Decided February 22, 1989.

Attorney(s) appearing for the Case

William J. Russell and Jeffery J. Ventrella, Elam, Burke & Boyd, Boise, Idaho, for plaintiff-appellant.

Jeffrey G. Howe, Asst. U.S. Atty., Boise, Idaho, and John L. Loesch, Small Business Admin., Seattle, Wash., for defendants-appellees.

Before NELSON and BEEZER, Circuit Judges, and REA, District Judge.

BEEZER, Circuit Judge:

This is a contract dispute between a bank and the Small Business Administration ("SBA") over the SBA's failure to honor a guarantee agreement insuring one of the bank's loans. The district court entered an order of summary judgment for the SBA, on the grounds that the bank had substantially failed to comply with the agreement and that the SBA was not required to rescind its guarantee promptly upon learning...

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