Tillerson v. Highrabedian

TUNKS, Chief Justice.

On June 28, 1967, Mr. Ed Tillerson and his wife, as owners, entered into a contract with Mr. Andrew Highrabedian, as builder, for the construction of a residence in Katy, Texas. On February 10, 1968, when the house was almost completed it burned. At the time the house burned there was in effect a builder’s risk insurance policy covering it and issued by Commercial Union Insurance Company of New York. In that policy Tillerson was the named insured. As a result of the fire the insurer paid Tillerson about $49,000 pursuant to the policy. Then, as subrogee of the Tillersons,…