Minn. High Court Lets Insurers Go After Negligent Tenants

Law360, New York (September 7, 2012, 4:54 PM EDT) -- The Minnesota Supreme Court on Wednesday squashed a rule sheltering businesses that negligently damage their rented property from being sued by their landlord's insurers over the loss, saying courts should decide on a case-by-case basis whether these subrogation suits are allowed.

Overturning a hair salon's victory against Ram Mutual Insurance Co., the high court ruled that an insurer may in some cases bring a subrogation suit against a negligent tenant to recover money paid out for property damage. In subrogation suits, insurance carriers stand in the...
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