Delaware Business Litigation Report

District Court Grants Leave to File Third-Party Complaint

Federal Insurance Company v. Lighthouse Construction, Inc., 230 F.R.D. 387 (D. Del. 2005). A property insurer brought a subrogation action against a building contractor to recover for loss caused by a roof collapse. The contractor sought leave to filed third-party complaint against erection contractor. Insurer also sought leave to filed a claim against it. The District Court held: (1) the contractor was entitled to add third-party claim of contractual indemnification against erection contractor; (2) the insurer could not assert claim against third-party defendant after expiration of two-year statute of limitations; and (3) insurer's amendment of complaint to add erection contractor would not relate back to subrogation action against building contractor. Share