What Stopped This $800,000 Subrogated Pollution Claim

  Tuesday, February 5th, 2019 Source: Canadian Underwriter

A subrogated claim could go off the rails if the client is bankrupt. The Supreme Court of Canada announced Thursday it will not hear a subrogation case involving Desjardins, which applied last year for leave to appeal Douglas v. Stan Fergusson Fuels Ltd., released by the Court of Appeal for Ontario in March 2018. he Douglas ruling effectively stopped State Farm (whose Canadian property and casualty assets were acquired in 2015 by Desjardins) from suing Stan Fergusson Fuels Ltd., Imperial Oil Limited and others on behalf of Art and Wendy Douglas. Subrogation law gives an insurer the right to sue others in the name of a client.

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