Also known as: stand in the shoes · stands in the shoes · stood in the shoes · standing in shoes · shoes doctrine · subrogation
Written by attorneys · grounded in primary & secondary sources — see below
A legal principle under which one party assumes the rights, obligations, or position of another. The assuming party acquires the ability to enforce claims or defenses that belonged to the original party, subject to any defenses arising from the assuming party's own conduct.
Samuel Soto owes a debt to Serena Soto. Samuel contracts with Sterling Manufacturing to pay the debt directly to Serena. Serena may sue Sterling on the promise or Samuel on the underlying debt. If Serena recovers fully from Sterling, Samuel's obligation is satisfied to that extent, but Samuel retains a reimbursement claim against Sterling.
Sentinel Security pays a covered loss suffered by Sapphire Holdings and caused by a third party's negligence. Sentinel may file suit in its own name against the third party to recover the amount paid. Sapphire cannot control the litigation or settlement once Sentinel has stepped into its position on the paid claim.
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The surviving entity continues as the same legal person and succeeds to all contract rights and obligations of the merged entities by operation of law. It does not become a new entity required to renegotiate or re-enter prior relationships.
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The partner is treated as a creditor with respect to the distribution but the partnership may offset any personal debt the partner owes it. The net amount is paid, and the debt is satisfied to the extent of the offset.
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Yes. Subrogation transfers the insured's claim to the insurer to the extent of the payment. As a separate legal person the insurer may assert the claim directly without joining the insured.
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No. The pledge encumbers only the pledging partner's share and does not alter the underlying proportional ownership rights between the partners for calculating distribution proportions.
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…146 A.2d 105, 110 (1958) (liability insurer having paid judgment for assault on behalf of insured partnership has a right of subrogation against the individual partner who committed the assault). Affirmed in part and reversed in part. Footnotes [^maj-1]: Judge McRae's order in Rice v. Perl , dated August 11, 1980, as…