“In our view the Insurers are tied down to the argument of subrogation as giving them a right to step into the shoes of Jarmakanis when they paid the amount of the judgment debt on 15th September, 1962. The Court rejects the argument that upon payment the Insurers’ interest related back to the date of the Judgment against Jarmakanis in spite of their repudiation of liability. It will be enough to cite from paragraph 513 (on the nature of the right of subrogation) at page 261 of Halsbury’s Laws of England (3rd edition) Volume 22, the last sentence, which reads- “The right does not arise until the insurers have admitted their liability to the assured, and have paid him the amount of the loss.”The argument of subrogation was advanced in the first application of the Insurers for leave to carry on the appeal lodged by Jarmakanis against Alhaji Kalla in November, 1961. In its Judgment of 5th March, 1965 the Court said as follows: “But Jarmakanis do not wish to prosecute their appeal against him: in fact they gave it up in January, 1962.” Thus there were no longer any rights of appeal which could have been subrogated, and the Insurers cannot ask for leave to appeal in their own name.”
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