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DIGINET, INC. v. WESTERN UNION ATS, INC.

No. 91-1658.

958 F.2d 1388 (1992)

DIGINET, INCORPORATED, Plaintiff, v. WESTERN UNION ATS, INCORPORATED, Defendant, Third-Party-Defendant-Appellant, v. CITY OF CHICAGO, Defendant, Third-Party-Plaintiff-Appellee.

United States Court of Appeals, Seventh Circuit.

Decided March 9, 1992.

Rehearing and Rehearing Denied March 17, 1992.

Attorney(s) appearing for the Case

Don Sampen, Jacob J. Meister, Chicago, Ill., for Diginet, Inc.

Thomas F. Geselbracht (argued), John E. Mitchell, Peter S. Lubin, Rudnick & Wolfe, Chicago, Ill., Patricia N. Young, Washington, D.C., for Western Union ATS, Inc.

Ruth M. Moscovitch, Asst. Corp. Counsel, Office of the Corp. Counsel, Appeals Div., Lawrence Rosenthal, Deputy Corp. Counsel (argued), Emily Nicklin, Bennett W. Lasko, Stuart D. Fullerton, Office of the Corp. Counsel, Lynn K. Mitchell, Kelly R. Welsh, Asst. Corp. Counsel, Benna R. Solomon, Office of the Corp. Counsel, Appeals Div., Chicago, Ill., for City of Chicago.

Howard J. Trienens, Gerald A. Ambrose (argued), Sidley & Austin, Chicago, Ill., for American Tel. & Tel. Co. and AT & T Communications, Inc.

Before POSNER, EASTERBROOK, and RIPPLE, Circuit Judges.

Rehearing and Rehearing En Banc Denied March 17, 1992.

POSNER, Circuit Judge.

This appeal from the grant of a preliminary injunction to a city that wants to tax a telecommunications company raises difficult questions concerning res judicata, equitable remedies, municipal powers, certification of questions of state law by federal courts to state courts, and management of complex litigation.

Beginning in 1981, Western Union, in an effort to diversify...

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