Substantial Subrogation Recovery From Manufacturers Of Faulty Component
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Josh Yeager represented a large corporation that was hired by Fortune 100 company to install a massive material handling system at one of the Fortune 100 company’s plants. At this plant, plastic pellets were processed so that they could later be melted down to form consumer goods made of plastic. At the end of the processing, the pellets were required to be free from standing moisture. One of the component parts of the material handling system was designed for the sole purpose of removing any standing moisture from the pellets. This component part failed less than two months after the system went operational – causing significant business interruption losses by the Fortune 100 company. Josh’s client paid the damages and then filed a subrogation case against the two companies that designed, manufactured, and sold the failed component part because the investigation showed that the component part was improperly welded internally, was constructed of material that was too thin, and did not meet the agreed upon specifications. Josh was able to settle the subrogation case and recovered a substantial portion of the monies paid by his client.
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