After a bank in Virginia suffered a devastating fire, the bank’s insurer retained Stutman Law to investigate subrogation potential. Stutman Law immediately contacted the bank owner to ensure the fire scene was secure and that all potentially relevant evidence was preserved. This quick action was critical, as the fire appeared to involve the bank’s recently installed generator, and the installation contractor had already contacted the bank seeking to remove it from the building. Stutman Law’s New Loss team intervened, ensuring that the generator remained in place until a joint inspection could be scheduled with all interested parties.
During the subsequent joint inspection, experts observed that the generator had been installed atop a combustible wooden platform on the bank’s roof. Prior to the fire, the area had been without power for several hours, causing the generator to operate for an extended period. Stutman Law’s expert opined that the fire occurred because heat from the generator’s exhaust ignited the wooden platform. After a laboratory examination ruled out any defect in the generator itself, the installer’s insurer agreed to pay nearly all the damages sustained by Stutman Law’s client—without the delay or expense of litigation.
This recovery serves as an important reminder that swift and decisive action after a loss can make or break subrogation potential. If the installer had been permitted to remove the generator before a joint inspection could be coordinated, a positive pre-suit result would have been highly unlikely.