What are we liable for in a subrogation claim between 2 insurance companies?
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What are we liable for in a subrogation claim between 2 insurance companies?
Last year we were awarded claims for property damage that occured 2 years prior in another state; we moved after the incident but before the award. Now, Insurance Company A (as subrogee of ours – we signed as part of agreement of payment) is filing claims against Company B (which insured the condo). Now we are asked for an affidavit by the lawyers of Company A – as Company B has requested us to be deposed from our current state of residence. Is that possible? What are our legal rights? Should we get a lawyer and what are we liable for? Can we refuse? Can company B sue us in the future if the lose to company A?
Asked on November 12, 2011 under Insurance Law, California
Answers:
FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney
Answered 12 years ago | Contributor
Given the complicated situation for subrogation that you are in, but apparently are not being sued, I see no reason why you need to have a lawyer representing you for the upcoming depositions that you write about.
Yoiu can be deposed in your current state about the lawsuit you are writng about. If you have been served with a subpoena for your deposition, you must obey the subpoena or be subject to an order to show cause regarding contempt.
The subrogation claim between the two insurance companies deals with a dispute between the two of them as to which one owes the other moneys expended regarding a prior lawsuit or claim that were paid out.
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