Many of our readers know how frustrating it can be to secure a judgment against a tortfeasor company only to see that company close down. However, an increasingly common scenario sees that same “company” resurrect itself as a new company shortly afterwards. Normally, the law protects successor corporations from the liabilities of its predecessors, and…
An Indiana Court of Appeals decision issued on October 28, 2014 changes the landscape of landlord/tenant subrogation in the Hoosier State. For years, Indiana allowed an insurer to bring a subrogation claim against a tenant. LBM Realty, LLC v. Mannia, 981 N.E.2d 569 (Ind. App. 2012). A 1996 Court of Appeals decision appeared to announce…
Many of our clients are members of Arbitration Forums, Inc. (AF), a nonprofit, private arbitration organization that facilitates arbitration hearings between its members. Companies can be a part of a number of different programs, including arbitrating property damage disputes. By joining AF, a member company signs a Property Subrogation Arbitration Agreement (Property Program). The signatory…
A new Texas Supreme Court decision in Chapman Custom Homes, Inc. v. Dallas Plumbing Co., 2014 WL 4116839 (Tex. 2014) narrows the stranglehold of the Economic Loss Doctrine (ELD) and states that the ELD precludes recovery in tort for economic losses resulting from a party’s failure to perform under a contract when the harm consists…
Property insurers along all lines could simplify their business practices and lower their overhead considerably by simply paying any and all property damages, claims, expenses, and consequential damages alleged to have been incurred by and in the amounts claimed by their insureds. Obviously, such a practice would be a shortcut to insolvency and would lead…
Gary Wickert’s was interviewed by the Chicago Tribune for an article published on May 14, 2014 entitled “Insurers Sue Chicago-Area Towns In A Bid To Get Flood Money Saying Municipalities Should’ve Done More Against Flooding”. Read the full article HERE.
The song we learn in our youth is the song we sing for life. Children often blame others for their mistakes and misdeeds – a desperate effort to shift responsibility and avoid unpleasant consequences. As adults engaging in commerce, we are not much different. It is virtually impossible to find a construction contract which does…
Abraham Lincoln once said, “The best way to get a bad law repealed is to enforce it strictly.” When and whether an injured employee can sue an owner or subcontractor for a work-related injury in Pennsylvania has been a matter of some confusion over the years. It is the latest in a landslide of confusing…
The long-standing and dysfunctional approach to subrogating against foreign manufacturers has become the primary reason why pursuing Chinese manufacturers is difficult and expensive. Many insurers, corporations, and law firms continue to implement tired and ineffective tools in pursuit of these claims. When a catastrophic fire loss is caused by a defective laptop battery manufactured in…
Robert Van Orden v. USAA, 2014 MT 45 (Mont. 2014) Montana has long been one of the toughest states to subrogate in because it has a very strict made whole policy. It is the public policy in Montana that an insured must be totally reimbursed for all losses as well as costs, including attorney fees…