Ipava Farmers Elevator Company, Counter-Plaintiff-Appellee v. Hawkeye-Security Insurance Company, Counter-Defendant-Appellant

SWAIM, Circuit Judge.

This action was tried on a counterclaim, the amended complaint having been voluntarily dismissed. Ipava Farmers Elevator Company, the counter-plaintiff, hereinafter sometimes referred to as plaintiff, purchased a “fidelity bond” from Hawkeye-Security Insurance Company, the counter-defendant, hereinafter sometimes referred to as defendant. The bond provided that the defendant would indemnify the plaintiff against any loss caused by fraud or dishonest acts of any of plaintiff’s employees. Nine months later plaintiff filed a “proof of loss” under the bond, stating that…