First American National Bank v. Fidelity & Deposit Company of Maryland

BOYCE F. MARTIN, Jr., Circuit Judge.

In this diversity case from Tennessee, First American National Bank appeals the declaratory judgment granted Fidelity & Deposit Company of Maryland which denied recovery under two employee fidelity insurance policies. First American challenges the district court conclusion that the coverage terminated when Midland Bank and Trust, the predecessor bank of First American, assumed management control of the insured party, Citizens Bank of Waverly, after purchasing eighty percent of its stock at a public foreclosure sale. We -believe that it did and affirm.

Several…