Georgia Power Co. v. Yorkshire Insurance
Georgia Power Co. v. Yorkshire Insurance
Opinion of the Court
The Yorkshire Insurance Company Limited, of York, England, hereafter called the York Company, filed a suit in the superior court of Bibb County against the Georgia Power Company and Mrs. Maud D. Parker, alleging in substance as follows: The York Company insured the dwelling-house of Mrs. Parker against damage by fire. The house was damaged by fire to the extent of $800, which was paid by the insurer (the York Company) on August 15, 1935. The insurance policy under which payment was made contained the following subrogation clause: “If this company shall claim that the fire was caused by the act or neglect of any person or corporation, private or municipal, this company shall on payment of said loss be subrogated to the extent of such payment to all right of recovery by the insured for the loss resulting therefrom, and such right shall be assigned to this company by the insured on receiving such payment.” On November 12, 1935, Mrs. Parker sued the Georgia Power Company in the city court oE Macon, for damage by fire to certain property not compensated for by the insurance, alleging that the fire was caused by the negligence of the Georgia Power Company. On January 13, 1936, Mrs. Parker assigned to the York Company, to the extent of $800, her claim for damages to her real property against any person responsible for the fire, and reserved to herself her claim for
The provision of the policy with reference to subrogation is as follows: “If this company shall claim that the fire was caused by the act or neglect of any person or corporation, private or municipal, this company shall, on payment of said loss, be subrogated to the extent of such payment to all right of recovery by the insured for the loss resulting therefrom, and such right shall be assigned to this company by the insured on receiving such payment.” The plaintiff in error contends that the York Insurance Company waived its right to subrogation, and therefore has no cause of action, because it failed to assert its right on the payment of the loss as claimed by the insured under the terms of the .policy. In support of this contention the following decisions were cited: Firemen's Fund Ins. Co. v. Thomas, 49 Ga. App. 731 (176 S. E. 691); Firemen's Insurance Co. v. Ga. Power Co., 181 Ga. 621 (183 S. E. 799). In neither of these cases, however, was there any assignment of the cause of action existing in favor of the insured against the tort-feasor; and for this reason, if not for others, the present case is distinguished. While in the case at bar the insured may have waived its right to subrogation as provided for in the policy, and may be wholly prevented from retying upon that principle, yet the payment of the loss did not render it illegal for the insurer to obtain from the insured a valid assignment of all, or a part, of
Judgment affirmed.
Case-law data current through December 31, 2025. Source: CourtListener bulk data.