West American Insurance v. Meridian Mutual Insurance

Garnishee-defendant Meridian Mutual Insurance Company appeals as of right from the trial court’s order granting judgment in favor of plaintiff West American Insurance Company in this garnishment action for damages awarded in a previous judgment against Meridian’s former insured, Jon Gutekunst, doing business as Floormaster Floorcovering, Inc. We reverse and remand.

This case arises out of a loss incurred by Ann Arbor Carpets, subrogor of West, as the result of Floormaster’s negligence. Ann Arbor Carpets sought to enter into a subcontracting agreement with Floor-master. On September 15, 1993,…