Recent clarification done by the Manitoba Liquor & Lotteries aimed to clarify that the Crown corporation has no involvement in a recently filed claim against The Pas and some of the volunteer firefighters that participated in the Town Centre Hotel fire extinguishing in 2017. The insurance company mentioned the lottery corporation in the lawsuit, but this has happened without the knowledge of the lottery corporation.
According to Manitoba Liquor & Lotteries, this situation might be a classic case of subrogation claim that is often done by insurance carriers. In such a situation, the insurance company seeks to recover the amount of money it had previously paid to the insured party. It could be recalled that March 12 saw the filing of a lawsuit with the Court of Queen’s Bench in which the insurance company strives to obtain both special and general damages, costs, and interest.
Subrogation Claim Involves Crown Corporation
The town and six of the volunteer firemen have were listed as defenders in this lawsuit, since they allegedly demonstrated carelessness in the way they put out the fire raging on July 7, 2017. The lottery corporation was also mentioned without the official permission or even knowledge of Manitoba Liquor & Lotteries.
With the help of this subrogation claim, the insurance company could bag the amount it had already paid out. However, the name of the insurer is usually omitted in such claims, focusing on the insured companies that suffered damages. The lottery corporation also refused to clarify which insurance company has filed the subrogation claim against the town and the firemen.
According to the details listed in it, the firefighters supposedly recommended switching off the fire alarm and sprinkler system. The details of this claim specify that the lottery corporation had eight of its video lottery terminals completely destroyed as a result of the arson that took place on site of the Town Centre Hotel. The said devices were located at the hotel bar at the time of the fire and their overall value reached CA$149,600.
Mayor Jaques Breathes Sigh of Relief
Manitoba’s lottery corporation had already been paid for the gaming machines in July 2018. It clarified that as far as it is concerned, it has no claims against the town or the firefighters. It is also seeking information about the legalities and what its next step should be in this situation. The Pas Mayor Herb Jaques stated that this latest information is a step in the right direction.
What should be pointed out is that the town wants to defend itself and refuses to pay the damages demanded by the insurance company. In a previous evaluation data announcement, hotel management stated that the overall losses as a result of the fire amounted to CA$2 million. The fire began around a pile of cardboard boxes and quickly took over the hotel venue.
Mayor Jaques expressed his utter shock upon finding out the lotteries corporation wants compensation for the fire that took over the three-story hotel venue. He defined this move as an unfair one against individuals risking their own lives and well-being saving other people’s lives. Now that the real reason for the lawsuit was clarified, the defense would be more adequate.