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Safety Mutual Casualty Corp. v. Spears11/5/1991
, and we hold that the three-year limit in G.S. 1-52(2) must apply here.
"It is the general rule that the act of payment of compensation to the injured person in satisfaction or partial satisfaction of the common liability fixes and determines the right of action of one joint tortfeasor against another for contribution. His cause of action for contribution accrues at that time, not before, and in the absence of waiver or the like, exists until barred by the pertinent statute of limitations." 18 Am. Jur. 2d Contribution ยง 78 (1985). "North Carolina follows the general rule that a cause of action on an obligation to indemnify normally accrues when the indemnitee suffers actual loss. The same rule applies to the accrual of a cause of action for contribution between joint tort-feasors." Premier Corp. v. Economic Research Analysts, Inc., 578 F.2d 551, 553-54 (4th Cir. 1978) (citations omitted). Here, the record does not indicate precisely on what date payment was made in the settlement of the two lawsuits at issue.
However, the record does establish that New Jersey Manufacturers Insurance Company issued a check on 5 August 1987 in settlement of one lawsuit and another check on 25 November 1987 in settlement of the other lawsuit. New Jersey Manufacturers gave instructions to hold the checks in escrow until receipt of "the Release and Stipulation of Dismissal" and "the appropriate closing documents." Assuming that payment was made on the dates above, the third-party actions would not have been time barred until August 1990 and November 1990, approximately one year after defendants' withdrawal as counsel in September 1989. Accordingly, we hold
that the trial court correctly granted summary judgment for defendants.
Because we have resolved this controversy as discussed above, we need not reach and expressly decline to reach the troublesome issue of whether and to what extent, if any, that legal malpractice claims may be assigned by insured persons to their insurers. See Hurst v. West, 49 N.C. App. 598, 272 S.E.2d 378 (1980); Christison v. Jones, 83 Ill. App. 3d 334, 405 N.E.2d 8 (1980).
Affirmed.
Disposition
Affirmed.
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