There are many challenges to subrogation recovery when the fire originates at a neighboring property. To assist with the challenge of pursuing liability, one tip is to look for evidence supporting the fire spread theory. In some jurisdictions, common law negligence claims and code violations are allowed to hold the property owner or property manager...
At one time or another, most subrogation professionals have struggled to track down an actual or alleged independent contractor involved with some scope of work relating to a loss. In some cases, we also find that defenses are being raised that someone was an independent contractor versus a direct employee. Often, we have to rely...
Litigants in New York now face new requirements for the production of liability insurance information at the onset of a civil action. The “Comprehensive Insurance Disclosure Act” (the “Act”) was signed into law by New York Governor Kathy Hochul on December 31, 2021. This legislation alters C.P.L.R. § 3101(f) with new requirements for defendants, third-party...
A 2021 opinion by a Washington State appellate court provided additional guidance on how plaintiffs may avoid the “public duty doctrine” defense in lawsuits against government entities. Norg v. City of Seattle (No. 80836-2-I), involved a wife who called 9-1-1 after her husband suffered a heart attack. She provided the Seattle Fire Department with the...
Investigating subrogation claims for property damage involves assessing a handful of key elements: (1) identifying the cause and origin of the loss; (2) ascertaining third-party targets; and (3) assessing whether a viable claim and recovery exists against those targets. The third element takes many forms, including determining the applicability of state laws to the third-party’s...
When evaluating the potential recovery for pursuing a subrogation action, insurance carriers must consider to what extent, if any, its insured negligently contributed to its injuries. Accounting for the insured’s potential liability is a significant part of the cost-benefit analysis for pursuing any subrogation claim. But in certain circumstances, the carrier may be concerned that...
Picture this scenario: you have a massive water loss at a commercial construction project. You send your forensic plumbing consultant to the scene. Your consultant determines that the plumbing subcontractor forgot to apply adhesive to the pipes that served the fire suppression system. One of the pipes split and flooded the entire complex when 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...
It seems like a deceivingly simple question as most attorneys assume statutes of limitations apply to all proceedings, despite the forum. However, this is not the case. The answer to whether a statute of limitations applies to your arbitration claim depends on the following questions: Has your state legislature or court decided that statutes of...
