Simple negligence results in a large subrogation recovery

Ten minutes after their Grand Opening, employees at a large bank branch smelled smoke. The situation quickly deteriorated with fire breaking out overhead. The employees and customers were evacuated safely. The fire, burning in the cockloft above the sprinklers, burned most of the roof off before it was brought under control.

Our investigation identified a pad mounted high efficiency LNG forced hot-air furnace as the cause of the fire. Examination of the reinforced concrete pad beneath the furnace revealed that the concrete beneath the burner elements had disintegrated from constant exposure to high temperature exposing the attic's wooden deck.

Comparison of the pad's dimensions and characteristics with building plans filed in the city's Building Commissioner office revealed this pad had a much lighter construction than what was called for in the architect's plans. During a subsequent recorded interview, the heating sub-contractor admitted that he had never referred to the building plans and had purchased this pad at a discount home supply outlet.

The carrier made a full recovery.