First National Bank of Minneapolis, a National Banking Association v. Fidelity National Title Insurance Company, a Nebraska Corporation

BRIGHT, Circuit Judge.

This litigation commenced after the collapse of a complicated scheme to develop a parcel of real estate. Defendant-appellee Fidelity National Title Insurance Company was the title insurer of the development land, and plaintiff-appellant First National Bank of Minneapolis was the short-term development lender. Their dispute is over who shall bear the monetary losses caused by encumbrances of record that are prior in right to First National’s mortgage. First National contends that Fidelity Title insured it as a first lienholder of the land and therefore seeks a declaratory…