A recent Oregon Supreme Court decision has lessened the load on subrogation attorneys fighting against restrictive subrogation waivers. In Certain Underwriters v. TNA NA Manufacturing, an insured buyer of food processing equipment brought claims against the seller of equipment after facing significant losses due to a product recall. See Certain Underwriters at Lloyd’s London v....
A number of property damage subrogation cases involve pursuit by a property owner’s insurer of a negligent tenant. Once liability is determined, the first part of the legal analysis is to determine application of the Implied Co-Insurance Doctrine. In review of the policy and lease agreement, we determine if the tenant is covered under the...
In subrogation actions arising from a subcontractor’s negligence, a common defense for a general contractor is to allege that the subcontractor was an “independent contractor.” In other words – “it wasn’t me, it was the other guy, and I’m not responsible for him!” But is that always the end of the story? Courts in New...
Most, if not all attorneys, are familiar with section 664.6 of the California Civil Procedure Code (CCP §664.6). CCP §664.6 previously authorized a court, upon motion, to enter a judgment in pending litigation pursuant to settlement terms if the involved parties sign a writing stipulating to settle litigation outside of the presence of the court....
The United States District Court of Maryland recently held that a waiver of subrogation clause found in an AIA agreement can be superseded by subsequent contract language between the contractors. In Turner Construction Co. v. BFPE Int’l, 2016 WL 1169938 (D. Md. Mar. 25, 2016), a general contractor brought suit against its subcontractor for property...
In a Per Curium unpublished opinion dated August 9, 2016, an intermediate appellate court in Michigan overruled a trial judge’s grant of summary judgment based on a waiver of subrogation but affirmed the ruling that the plaintiff had not plead sufficient facts of gross negligence to state a claim. The subrogated claim involved an alleged...
The co-author of the following post, Robert Sottile, is an Articling Student with Cozen O’Connor. The Court of Appeal has recently published a new decision regarding covenants to insure in Ontario. In Sanofi Pasteur Limited v. UPS SCS, Inc., 2015 ONCA 88, the plaintiff, Sanofi, contracted with the Defendant, UPS SCS Inc. (“UPS”), to store...
In deciding an issue of first impression, an Illinois appellate court expanded in early May the application of the implied warranty of habitability. “Implied warranty of habitability” is a group of words that fails to roll smoothly off the tongue and that may send some readers running for the hills knowing that the words that...