Words

Words Matter: The Importance of Clarity in Subrogation and Mediation Agreements

Pulitzer prize winning historian David McCullough once said that “Writing is thinking. To write well is to think clearly. That’s why it is so hard.” When claims adjusters, subrogation professionals, and/or subrogation lawyers document a settlement or stipulation with an insured’s or employee’s attorney regarding a subrogation interest, getting all the right words in the…

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Cases Settle

When Cases Settle: Release Language, Indemnity, Hold Harmless, and Other Concerns

The bane of any subrogation professional’s existence is the dreaded release. It is no coincidence that when Zeus uttered the words, “Release the Kraken!” in the 1981 fantasy adventure film The Clash of the Titans, he chose the word “Release.” The meme itself connotes setting loose utter destruction on one’s enemy—a description which can be…

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Florida and Kentucky Wrestle with Matching Requirements in Homeowners’ Replacement Cost Claims

One of the most difficult and confusing issues to deal with in the world of homeowner’s insurance property claims is the obligation to repair or replace an insured’s damage property with “material of like kind and quality” or with “similar material.” When damage caused by fire, smoke, water, hail, or other causes results in a…

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Delaware

DELAWARE SUPREME COURT REVERSES ITSELF: Allows Workers’ Compensation Subrogation of UIM Benefits

The ability of a workers’ compensation carrier to subrogate against and/or seek reimbursement from a recovery made from a third-party tortfeasor responsible for causing the employee’s work-related injuries is universally recognized across the country as a major tool for holding down workers’ compensation premiums for large and small businesses and employers. Whether or not this…

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Dram Shop

ARIZONA SUPREME COURT ELIMINATES COMMON LAW DRAM SHOP ACTIONS: Torres v. JAI Dining Services (Phoenix), Inc., 2023 WL 6801025 (Ariz. 2023)

On October 16, 2023, the Arizona Supreme Court in Torres v. JAI Dining Services (Phoenix), Inc., ruled that the Arizona constitution does not protect common law dram shop actions, and thus, the legislature, by enacting a statutory dram shop claim, eliminated the then-existing common law dram shop cause of action.[1] This means that in order…

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Evidence

INDIANA EXPANDS THIRD-PARTY TORT OF SPOLIATION Safeco Ins. Co. of Indiana v. Blue Sky Innovation Group, Inc., 211 N.E.3d 564, 568 (Ind. App. 2023)

Understanding spoliation has become an increasingly integral and important aspect of effective subrogation efforts. Without the necessary evidence and investigation required for a subrogated insurance company to meet its burden of proving the origin and cause of a fire or that a product was defective, subrogation will fail. Spoliation has become one of the most…

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