Question: xon, a State X corporation, designed a building for Smith, a citizen of State Y, six years ago. Part of that building collapsed last year,
xon, a State X corporation, designed a building for Smith, a citizen of State Y, six years ago. Part of that building collapsed last year, causing damages in excess of $180,000. Smith has filed an action against Exon in the U.S. District Court in State X, alleging that his damages resulted from the negligent design of the building. Exon filed an answer denying negligence and asserting as an affirmative defense that the statute of limitation for negligence is two years. At the time the building was being constructed, Jones, an attorney and member of Exon's board of directors, who occasionally handled legal matters for Exon, prepared and sent the following memorandum to the president of Exon: "I have been informed by Tom Withers, an architect who used to work for Exon, that the materials being used by the contractor. Builder Corp., in constructing the building are substandard." Smith filed a timely motion for the pre-trial production of the Jones memorandum. The motion was denied. Smith filed a timely motion for summary judgment, relying on an affidavit made by Withers which set forth facts consistent with Jones' memorandum. Exon also filed a motion for summary judgment, accompanied by an affidavit that
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