Castellain v. Preston (1883)

The leading case on indemnity. Defendant contracted to sell property but, before completion, the property sustained fire damage (£330), which the defendant recovered from his insurer. On completion, the defendant received the full purchase price from the purchaser despite not having repaired the damage. The insurer recovered the £330 payment as the defendant, having received the full price, had suffered no loss and the fire policy was one of indemnity.

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