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FIRST NAT. BANK v. WERNHART

No. 96-0176.

204 Wis.2d 361 (1996)

555 N.W.2d 819

FIRST NATIONAL BANK, Plaintiff-Appellant, v. Manfred WERNHART and Beth Wernhart, Defendants-Respondents, LAMPERT YARDS, INC., Defendant, Richard INGRAM d/b/a/ Ingram Construction, Third-Party Defendant.

Court of Appeals of Wisconsin.

Decided September 4, 1996.

Attorney(s) appearing for the Case

On behalf of plaintiff-appellant, the cause was submitted on the briefs of Alexander E. Brown and O'Brien, Anderson, Burgy & Garbowicz of Eagle River.

On behalf of defendant-respondents, the cause was submitted on the brief of William J. Joost and Nielsen & Nielsen of Eagle River.

Before Cane, P.J., LaRocque and Myse, JJ.

LaROCQUE, J.

First National Bank, the mortgagee, appeals a judgment on a counterclaim in favor of Manfred and Beth Wernhart, mortgagors, for negligent distribution of construction loan funds to a residential contractor. The trial court first granted the bank a money judgment against the Wernharts based upon a foreclosure action but granted the Wernharts a partial offset based upon their counterclaim. The court concluded the bank breached its duty for payments made...

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