Texas High Court To Mull 3rd-Party Subrogation Rights

Law360, New York (September 20, 2013, 8:30 PM EDT) -- The Texas Supreme Court said Friday it will review Allstate Insurance Co.’s attempt to recover $1.3 million from the alleged contributors to an alcohol-fueled car crash in a case hinging on the limits of insurers’ equitable subrogation rights.

Allstate is fighting an intermediate appellate court ruling that found it couldn't bring claims under the equitable subrogation doctrine, which allows carriers to recoup policy payouts from those responsible for a loss, based on its liability payments to two noninsured third parties.

The insurer paid $1.3 million to...
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