Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-ca10-88-02195/USCOURTS-ca10-88-02195-0/pdf.json

Nature of Suit Code: 110
Nature of Suit: Insurance
Cause of Action: 

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FILED 

Uflited States Court of Appeals 

·r enth Circuit 

UNITED STATES COURT OF APPEALS 

TENTH CIRCUIT 

SEP 7- 1989 

ROBERT L. HOECKER 

Clerk 

THOMAS H. AND DEBORAH JON VIUF, 

Plaintiff-Appellees, 

v. 

THE TRAVELERS INDEMNITY COMPANY, 

Defendant-Appellant. 

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ORDER AND JUDGMENT* 

No. 88-2195 & 88-2310 

(D.C. No. 87-C-442-E) 

(N.D. Oklahoma) 

Before MCKAY, TACHA, and EBEL, Circuit Judges. 

After examining the briefs and appellate record, this panel 

has determined unanimously that oral argument would not materially 

assist the determination of this appeal. See Fed. R. App. P. 

34(a): 10th Cir. R~ 34.1.9. Therefore, the cause is ordered 

submitted without oral argument. 

The issue on appeal is whether the district court erred in 

concluding that appellant Travelers Indemnity Company, as surety 

of a surface damage bond upon which a judgment was entered in 

favor of appellees Thomas and Deborah Viuf in a previous state 

court action, is bound by that judgment and is now precluded from 

raising defenses to the items of damage ordered covered by the 

* This order and judgment has no precedential value and shall not 

be cited, or used by any court within the Tenth Circuit, except 

for purposes of establishing the doctrines of the law of the case, 

res judicata, or collateral estoppel. 10th Cir. R. 36.3. 

Appellate Case: 88-2195 Document: 01019973446 Date Filed: 09/07/1989 Page: 1 
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• bond. We agree with Travelers that, under Oklahoma law, the suit 

for the underlying action in state court does not preclude it from 

addressing the scope of its liability under the bond. See Peery 

v. Merrill, 179 P. 28, 28 (Okla. 1918); Reed v. United States 

Fidelity and Guaranty Co., 52 P.2d 822, (Okla. 1935); Wright v. 

Fidelity & Deposit Co. of Maryland, 54 P.2d 1084 (Okla. 1936). 

Accordingly, we REVERSE the decision of the district court and 

REMAND this case for a determination of Travelers liability under 

the bond. The mandate shall issue forthwith. 

Entered for the Court 

David M. Ebel 

Circuit Judge 

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Appellate Case: 88-2195 Document: 01019973446 Date Filed: 09/07/1989 Page: 2