The Subrogation Strategist

The economic loss doctrine is a concept in subrogation law that is often debated and rarely completely understood. Even when a subrogation practitioner may think they have it figured out, a new scenario presents itself that creates a brand-new gray area. The United States District Court for the Northern District of Illinois (District Court) recently addressed the effect a data breach – at a software provider - had on an insured’s software access and how the economic loss doctrine played into the resulting claims for damage.

In Travelers Excess & Surplus Lines Co. v. CDK Glob., LLC,Continue Reading

Investigating construction related claims involves more than just figuring out who is at fault. Construction contracts are often full of liability limiting provisions meant to allocate risk among the parties. A prime example is the consequential damages waiver provision, a clause that limits or waives a party’s ability to recover certain losses that do not flow directly from a breach of contract. In the construction context, consequential damages can include lost profits, loss of use, and financing costs. In contrast, direct damages are the immediate costs incurred to correct ... Continue Reading

In a recent unpublished opinion, Hale v. Bassette, No. HHD-CV-20-6124046-S, 2022 Conn. Super. LEXIS 2292, the Superior Court of Connecticut held that the plaintiff was entitled to recover building code upgrade costs associated with repairing a 150-year-old home damaged by the defendant’s negligence. In reaching its decision, the court applied the eggshell plaintiff doctrine, a legal principle that is more commonly applied in personal injury actions.  The doctrine says that a negligent defendant takes the injured plaintiff as he or she is found, making the defendant responsible for any injury that is magnified by the plaintiff’s pre-existing condition or injury.  The court found the fact that the home was 150 years old and susceptible to greater damage did not relieve the defendant of its obligation to make the plaintiff whole.Continue Reading