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FIDELITY MUT. LIFE v. HARRIS TRUST AND SAV. BANK

No. 95-1884.

71 F.3d 1306 (1995)

FIDELITY MUTUAL LIFE INSURANCE COMPANY, Plaintiff-Appellant, v. HARRIS TRUST AND SAVINGS BANK, not personally or individually but as Trustee under Trust Agreement dated 7/7/81 and known as Trust No. 41295; Kaiser Investments, an Illinois general partnership; et al., Defendants-Appellees.

United States Court of Appeals, Seventh Circuit.

Decided December 12, 1995.

Attorney(s) appearing for the Case

Michael Weininger, Brian A. Bosch, Benjamin J. Randall (argued), Katz, Randall & Weinberg, Chicago, IL, for Plaintiff-Appellant.

Jay S. Geller (argued), Jerry L. Switzer, Jr., Donald I. Resnick, Jenner & Block, Chicago, IL, for Defendants-Appellees.

Before POSNER, Chief Judge, and KANNE and DIANE P. WOOD, Circuit Judges.

POSNER, Chief Judge.

The appeal in this diversity suit presents issues of Illinois property and contract law. In 1986 the plaintiff, Fidelity, made a $3.6 million loan to an Illinois land trust that held title to a commercial property. The trustee was an Illinois bank, the beneficiary a partnership, Kaiser Investments. The loan was secured by a mortgage on the property, but in addition Kaiser Investments executed a "Borrower...

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