Scavone v. Kings Craft Corp.

Order unanimously reversed, with costs, and partial summary judgment granted in accordance with the following memorandum: A subrogated insurance carrier obtains a vested interest in any cause of action that the insured had against the wrongdoer to the extent that the insurance carrier has actually paid claims under its policy. Its rights of subrogation may not be defeated by a release to the wrongdoer granted by the insured, subsequent to the payment by the insurance carrier, provided the wrongdoer has notice of the subrogated claim (Ocean Acc. & Guar. Corp. v Hooker Electrochemical Co., 240…