First National Bank of Manitowoc, Plaintiff-Appellee/cross-Appellant v. Cincinnati Insurance Company, Defendant-Appellant/cross-Appellee

SYKES, Circuit Judge.

First National Bank of Manitowoc extended credit to a local used-car dealership based in part on the dealership’s presentation of leases signed by its customers. Unbeknownst to the Bank, in many instances the dealership’s president forged customers’ signatures on leases that were fabricated or altered. The dealership eventually defaulted on the loans, and the Bank lost more than $1.7 million. The Bank filed a claim for the loss with its insurer, Cincinnati Insurance Company. The policy Cincinnati had issued to the Bank was similar but not identical to an outdated version…