Continental Insurance v. Faron Engraving Co.

This is a subrogation action brought by plaintiff-respondent Continental Insurance Company to recover for water damages sustained by its insured, plaintiff-respondent Buda Graphics, Ltd., a subtenant in a building owned and managed by appellants. The sublease incorporated by reference the provisions of the lease. Paragraph 9 thereof contains a subrogation waiver provision which covers contingencies associated with the partial or total destruction of the demised premises. Paragraph 8 holds the owner responsible for its own negligence resulting in damage to a tenant’s property and contains no…