An insurance company can’t sue a condominium tenant in subrogation, even if they were negligent in starting a fire.
The Declaration required the association to “obtain and maintain a … policy of all risk property insurance” for the association. The Declaration also required the policy to name as insureds the unit owners and their bank mortgage holders (Mortgagees) and that “any insurance maintained by the association shall contain [a] ‘waiver of subrogation’ as to the Units and Mortgagees.” Finally, the Declaration also prohibited the owners from obtaining fire insurance and required all occupants and tenants to comply with the Declaration.
One of the unit owners leased its commercial unit to the tenants (Defendant). The lease did not specify who would carry fire insurance.