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KING v. GIBBS

Nos. 88-2668, 88-3441.

876 F.2d 1275 (1989)

Joan Harding KING, et al., Original Plaintiffs, v. Bruce J. GIBBS, Defendant and Cross-Claim Plaintiff-Appellant, v. Richard C. BLUM, William Roach, Edward Scarff, Arthur H. Stromberg, William D. Walsh and Advanced Systems, Inc., Defendants and Cross-Claim Defendant-Appellees.

United States Court of Appeals, Seventh Circuit.

Decided June 1, 1989.

Attorney(s) appearing for the Case

John A. Cook, Richard D. Darby, Jr., Chicago, Ill., for defendant and cross-claim plaintiff-appellant.

Joel G. Chefitz, Patrick J. Lamb, Katten Muchin & Zavis, Chicago, Ill., for defendant and cross-claim defendants-appellees.

Before COFFEY, FLAUM, and RIPPLE, Circuit Judges.

FLAUM, Circuit Judge.

In Heizer Corporation v. Ross, 601 F.2d 330, 334 (7th Cir.1979), we held that a securities wrongdoer was not entitled under federal law to indemnification for its liabilities. Gibbs, the cross-claim plaintiff, claims that as an innocent defendant, rather than a wrongdoer, the rule of Heizer is inapplicable to his case. The district court held that even if Gibbs could prove that he was innocent,...

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