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CITY OF HOUMA, LA. v. MUNICIPAL AND INDUS. PIPE SERVICE

No. 88-3597.

884 F.2d 886 (1989)

CITY OF HOUMA, LOUISIANA, Plaintiff-Appellee, v. MUNICIPAL AND INDUSTRIAL PIPE SERVICE, INC., Defendant. AMERICAN MANUFACTURERS MUTUAL INSURANCE COMPANY, Defendant-Third-Party Plaintiff-Appellee-Appellant, v. GST ENGINEERS, Gulf South Engineers, Inc., and T. Baker Smith & Sons, Inc., Third-Party Defendants-Appellants.

United States Court of Appeals, Fifth Circuit.

Rehearing Denied November 6, 1989.

Attorney(s) appearing for the Case

Michael E. Wanek, Gwendolyn S. Hebert, Hulse, Nelson & Wanek, New Orleans, La., for Gulf South Engineers, T. Baker Smith, & G.S.T.

Howard Marks, Harvey C. Koch, Joe M. Inabnett, Margaret M. Groome, New Orleans, La., for American Mfrs.

Robert P. Cuccia, Pullaro, Cuccia & Champagne, Houma, La., for City of Houma.

Before CLARK, Chief Judge, JOHNSON and SMITH, Circuit Judges.

JOHNSON, Circuit Judge:

The City of Houma, Louisiana, after being defrauded by the contractor hired to test and repair faulty sewer lines, sued the contractor and its surety to recover payments made under the contract. The district court found in favor of the City. The district court also granted the surety indemnity from the engineering firm hired to oversee the rehabilitation plus interest and costs. For the reasons stated below, we affirm these findings. However...

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