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AFFILIATED FM INS. v. BD. OF EDUC. OF CHICAGO

No. 93-2786.

23 F.3d 1261 (1994)

AFFILIATED FM INSURANCE COMPANY, Plaintiff-Appellee, v. BOARD OF EDUCATION OF the CITY OF CHICAGO, Defendant-Appellant.

United States Court of Appeals, Seventh Circuit.

Decided May 12, 1994.

Rehearing Denied June 7, 1994.

Attorney(s) appearing for the Case

John W. Morrison, Altheimer & Gray; Daniel J. Leahy, Leahy, Eisenberg & Fraenkel, Chicago, IL, and Franklin M. Sachs (argued), Rebecca Levy Sachs, Marianne C. Tolomeo, and Henry J. Catenacci, Podvey, Sachs, Meanor, Catenacci, Hildner & Cocoziello, Newark, NJ, for plaintiff-appellee.

Thomas R. Meites (argued), Joan H. Burger, Lynn S. Frackman, Laurie A. Wardell, Bonnie L. Beck-Fries, Meites, Frackman, Mulder & Burger; Mitchell Ware, Andrea M. Buford, R. Delacy Peters, Jr., Gerald D. Zansitis, Jones, Ware & Grenard; and Iris E. Sholder, John L. Wren, Karen Gatsis Anderson, and Michael J. Hernandez, City of Chicago Bd. of Educ., Chicago, IL, for defendant-appellant.

Before FAIRCHILD, CUMMINGS and BAUER, Circuit Judges.

CUMMINGS, Circuit Judge.

Plaintiff Affiliated FM Insurance Company of Rhode Island ("Affiliated") sued the Chicago Board of Education ("Board") in a declaratory judgment action to determine whether a claim previously filed by the Board was barred because it did not commence suit within 12 months of a loss. The district court, sitting in diversity, held that the Board was not immune from complying with the condition of the policies requiring commencement of suit within...

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