Safeco Insurance Company of America v. City of White House, Tennessee, a Municipal Corporation

RYAN, Circuit Judge.

In this declaratory judgment action, Safeco Insurance Company of America appeals summary judgment holding it liable as surety on a performance bond for damages incurred by the City of White House, Tennessee, resulting from Eatherly Construction Company’s alleged breach of a construction contract. In this appeal, we must decide whether the district court properly exercised jurisdiction over this case, and, if so, whether the district court erred in concluding that Eatherly and the City had entered into a contract and that Eatherly breached that contract by subsequently…