Waiver of Subrogation (In a Lease)

The waiver of subrogation is a technical contract provision that protects each party from liability to third parties that are not directly implicated in the contract. The idea behind this waiver is to protect the first party in the contract from being responsible for damages to a third party if that third party sues the second party for some reason. For example, the waiver of subrogation would protect the tenant if some dangerous feature of the property caused injury to a visiting third party. In that case, the third party would file his or her lawsuit against the landlord. With a waiver of subrogation in place, the landlord would not be able to subrogate his duty to the tenant and would be responsible for the damage, and the tenant would not be liable for any damages to the visiting third party.