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Fairway Development Co. v. Title Insurance Co.
United States District Court for the Northern District of Ohio
621 F. Supp. 120 (1985)
Fairway Development Company (plaintiff) formed a partnership consisting of three partners. Fairway contracted for a title guarantee insurance policy from Title Insurance (defendant). Two of Fairway’s original partners transferred their partnership interests to the remaining partner and one new partner. Fairway sought payment from Title Insurance for failing to note a utility easement on its property. Title Insurance refused. Fairway filed a claim for breach of contract. Title Insurance moved for summary judgment and admitted liability only to Fairway’s original partnership and not to Fairway’s new partnership, which was created after the transfer of two partners’ interests. Fairway also moved for summary judgment.
Rule of Law
Holding and Reasoning (Dowd, J.)
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