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Frymire Engineering Co. Ex Rel. Liberty Mutual Insurance Co. v. Jomar International, Ltd.

Texas Supreme Court (2008) | 259 S.W.3d 140; 51 Tex. Sup. Ct. J. 1042; 2008 Tex. LEXIS 573; 2008 WL 2404961

4 min read

TL;DR: A subcontractor contractually indemnified a property owner for damages. The court held the subcontractor could use equitable subrogation to sue the manufacturer of a defective part that allegedly caused the damage, allowing it to pursue the owner's tort claim against the manufacturer.

Legal Significance: This case establishes that a party paying for damages under a contractual indemnity obligation is not a "volunteer." It can use equitable subrogation to pursue tort claims against a third party primarily liable for the loss, preventing the tortfeasor's unjust enrichment.