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Subrogation

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What is Doctrine of Subrogation?

The Doctrine of Subrogation is a legal doctrine.

In this, one person is entitled to enforce the subsisting or revived rights of another for one's own benefit.

The right of subrogation is a derivative right.

How does the right come?

The right of subrogation can come to a person in two ways:

1. Arises by operation of law

2. Arises by statute or by agreement

Equitable Remedy

Subrogation is an equitable remedy.

A person can satisfy his/her loss that is created by the wrongful act or omission of another person by stepping into the shoes of the loser and recovering on the claim from the wrongdoer.

History

It was first developed in the English Court of Chancery.

It is now a typical feature of common law systems.

Related Case Law

  • Blackburn v. Hamoudi, 1990 Ohio App. LEXIS 4135 (Ohio Ct. App., Franklin County Sept. 18, 1990).
  • Interstate Fire & Casualty Ins. Co. v. Cleveland Wrecking Co., 182 Cal. App. 4th 23 (Cal. App. 1st Dist. 2010).
  • Rosenbaum v. Goodman, 78 Va. 121 (Va. 1883).
  • Home Ins. Co. v. Smith, 235 Mo. App. 552 (Mo. Ct. App. 1940).
  • In re Eastern Marine, Inc., 104 B.R. 421 (Bankr. N.D. Fla. 1989).
  • National Union Fire Ins. Co. v. Riggs Nat’l Bank, 646 A.2d 966 (D.C. 1994).
  • In re Stratford Lamps, Inc., 120 B.R. 31 (Bankr. W.D. Pa. 1990).
  • Osterman v. Baber, 714 N.E.2d 735 (Ind. Ct. App. 1999).
  • Hulen v. Hamilton, 2008 Tex. App. LEXIS 1672 (Tex. App. Fort Worth Feb. 28, 2008).
  • Willmon v. Koyer, 168 Cal. 369 (Cal. 1914).
  • In re Baltimore Pearl Hominy Co., 294 F. 921 (D. Md. 1923).
  • Pacific Tel. & Tel. Co. v. Pacific Gas & Electric Co., 170 Cal. App. 2d 387 (Cal. App. 1st Dist. 1959).
  • Employes’ Bldg. & Loan Ass’n v. Crafton, 63 Okla. 215 (Okla. 1917).
  • Scott v. Silverleaf Dev., Inc., 1988 Tex. App. LEXIS 2157 (Tex. App. Houston 1st Dist. Aug. 25, 1988).
  • Martin v. Hickenlooper, 90 Utah 150 (Utah 1936).
  • Merchants’ Ins. Co. v. Herber, 68 Minn. 420 (Minn. 1897).
  • Stroh v. O’Hearn, 176 Mich. 164 (Mich. 1913).
  • Blair v. Claflin, 310 Mass. 186 (Mass. 1941)