Chicago Bridge & Iron Company, a Corporation v. Hartford Fire Insurance Company, a Corporation

MacKINNON, Circuit Judge:

On December 21, 1972, Chicago Bridge and Iron Co. (hereafter “CBI”) entered into a stock purchase agreement with two of the major shareholders (hereafter “Sellers”) 1 in Fairmac Corporation. 2 The assets of Fair-mac included an apartment complex in Washington, D. C. called “McLean Gardens.” The purchase price paid by CBI for the outstanding Fairmac stock owned by the Sellers, either individually or in a trusteeship capacity, was $16,500,000. 3 In this action, CBI claims breach of warranty damages in the amount of $157,000.

On June 29, 1973, about six months after the…