Union Planters Bank, N.A. v. Continental Casualty Co.

OPINION

SUTTON, Circuit Judge.

Union Planters Bank suffered a multimillion-dollar loss stemming from a mortgage lender’s fraud. Upon discovering the fraud, the bank notified its primary insurance provider, Continental Casualty Co., and later notified its three excess-policy carriers: National Union Fire Insurance Co., St. Paul Mercury Insurance Co. and Twin City Fire Insurance Co. When the insurance providers disputed coverage, Union Planters filed this diversity action, seeking to recover its losses, prejudgment interest and professional fees. Applying Tennessee law, the district court granted…