Jeffrey P. Gale, P.A. // Unlock Full Recovery: Using Subrogation Assignments to Your Advantage

A core responsibility of lawyers representing clients with personal injury or property-damage claims is to maximize recovery. Conventional wisdom holds that recovery is limited to actual damages – the plaintiff cannot collect more than the loss suffered.

Florida law, however, provides a pathway to expand recovery when subrogation, reimbursement, or contribution rights exist.

In Despointes v. Florida Power Corporation, 2 So. 3d 360 (Fla. 2d DCA 2008), the insured had received $224,567.66 from her own insurer, CIGNA, for fire damage. Through an assignment of CIGNA’s subrogation rights, she was able to recover the same amount against a third party allegedly responsible for the loss caused by a defective surge protector. The trial court initially barred recovery, but the Second District reversed, noting that allowing the tortfeasor to avoid liability “because the victim was prudent enough to obtain insurance” would be unjust.

Assignments of subrogation or contribution rights are well-established under Florida law, as reflected in § 768.76(1), Fla. Stat., and cases like Robarts v. Diaco, 581 So. 2d 911 (Fla. 2d DCA 1991), where defendants assigned their rights of contribution to the plaintiff.

The key takeaway for practitioners: when a right of subrogation or reimbursement exists, consider obtaining an assignment. This strategy can unlock recovery beyond the client’s direct damages.

A word of caution: assignments often come at a cost. The assignor is relinquishing something of value, which may require negotiation, such as accepting a reduced settlement. In Despointes, while the opinion does not specify, the insured may have agreed to a lesser amount from CIGNA in exchange for the assignment.

By strategically leveraging subrogation or contribution assignments, plaintiffs can prevent tortfeasors from benefiting from the plaintiff’s foresight in obtaining insurance and potentially maximize overall recovery.

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Jeffrey P. Gale, P.A. is a South Florida based law firm committed to the judicial system and to representing and obtaining justice for individuals – the poor, the injured, the forgotten, the voiceless, the defenseless and the damned, and to protecting the rights of such people from corporate and government oppression. We do not represent government, corporations or large business interests.

While prompt resolution of your legal matter is our goal, our approach is fundamentally different. Our clients are “people” and not “cases” or “files.” We take the time to build a relationship with our clients, realizing that only through meaningful interaction can we best serve their needs. In this manner, we have been able to best help those requiring legal representation.

DISCLAIMER: This information provided by Jeffrey P. Gale, P.A. is for informational purposes only and is intended to be used as a non-legal guide prior to consultation with an attorney familiar with your specific legal situation. It should not be considered legal advice or counseling. No such legal advice or counseling is either expressly or impliedly intended. This information is not a substitute for the advice or counsel of an attorney. If you require legal advice, you should seek the services of an attorney.