The Limit to the Insurer’s Subrogatory Action Against the Manufacturer
In its recent decision in CNH Canada Ltd. v. Promutuel Lac St-Pierre – Les Forges, société Mutuelle d’assurances générales, 2015 QCCA 204, the Court of Appeal confirmed that an insurer’s subrogatory rights against a manufacturer, in this case represented by LKD, is limited to the rights that its insured had in the covered product, regardless of the extent of the indemnity paid out to the insured further to the loss.