Additional Insured -- Builder's Risk

In St. Paul v. FD Sprinkler, Inc., St. Paul commenced a subrogation action to recover from subcontractors, FD Sprinkler and Woodworks Construction, monies that St. Paul had paid for property damage claimed under a Builder's Risk policy issued to its insured, Chelsea 27th Street Apartments. The damage was allegedly caused to its insured's building by the subcontractors. The subcontractors argued in defense to the action that they too were insured under the St. Paul policy, and therefore the antisubrogation doctrine barred the action. The First Department found that the subcontractors were only insured under the St. Paul policy "as their interests may appear." This, the Court also found, was limited to tools, labor or material owned or furnished by the subcontractors. Of the over $700,000 in claimed damages paid by St. Paul, only $52,323 were attributable to Woodworkers' materials. Therefore, the Court held that $52,323 was the only amount to which the antisubrogation doctrine applied.