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US Circuit Court of Appeals
6th Circuit Case Summaries
2004/05/25 Tue
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OPINION SUMMARIES - May 25, 2004
U.S. 6TH CIRCUIT COURT OF APPEALS
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TABLE OF CONTENTS
CIVIL PROCEDURE, CONTRACTS
* BAPTIST PHYSICIAN HOSP. ORG., INC. v. HUMANA MILITARY HEALTHCARE
SERVS.
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CIVIL PROCEDURE, CONTRACTS
BAPTIST PHYSICIAN HOSP. ORG., INC. v. HUMANA MILITARY HEALTHCARE
SERVS., No. 03-5084 (6th Cir. May 25, 2004)
The federal regulations incorporated by reference into the agreement
regulate only the amount the government can contract to pay
defendant, and not the amount defendant, as an independent
contractor, can promise to pay plaintiff.
Under Tennessee law, in reviewing a contract for
ambiguities, the court considers the contract as a whole. Williamson County
Broad. Co. v. Intermedia Partners, 987 S.W.2d 550, 552 (Tenn. Ct. App.
1998); Gredig v. Tennessee Farmers Mut. Ins. Co., 891 S.W.2d 909, 912
(Tenn. Ct. App. 1994). “A contract is ambiguous only when it is of uncertain
meaning and may fairly be understood in more ways than one. A strained
construction may not be placed on the language used to find ambiguity where none
exists.” Farmers-Peoples Bank v. Clemmer, 519 S.W.2d 801, 805 (Tenn.
1975). However, “[a] contract is not rendered ambiguous simply because the
parties disagree as to the interpretation of one or more of its provisions.”
International Flight Ctr. v. City of Murfreesboro, 45 S.W.3d 565, 570 n.5
(Tenn. Ct. App. 2000). Interpretation of an unambiguous contract is a question
of law for the court to decide. Hamblen County v. City of Morristown, 656
S.W.2d 331, 335-36 (Tenn. 1983). “Where a contract is clear and unambiguous,
parties’ intentions are to be determined from the four corners of the contract.”
Bokor v. Holder, 722 S.W.2d 676, 679 (Tenn. Ct. App. 1986). Even when the
agreement is unambiguous, however, the court may “‘consider the situation of the
parties and the accompanying circumstances at the time it was entered into – not
for the purpose of modifying or enlarging or curtailing its terms, but to aid in
determining’” the contract’s meaning. Hamblen, 656 S.W.2d at 334
(internal quotation marks omitted).
To read the full text of this opinion, go to:
http://laws.lp.findlaw.com/6th/04a0152p.html
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