Opinion by
On August 12, 1952, the motor vehicle of Daniel Saber was struck by a truck negligently operated by an employe of Supplee-Wills-Jones Milk Company, hereinafter referred to as the Company. On August 25, 1952, Saber received the sum of $277.50 ($327.50 less $50.00 deductible) from his collision insurance carrier, Universal Insurance Company, hereinafter referred to as Universal. In consideration of this reimbursement for his property damage, Saber gave Universal a “loan receipt”.
On September 17, 1952, Attorney C. advised the Company by letter that he represented Saber in his claim for damages. On October 24, 1952, Attorney B. *169 instituted a suit for Saber against the Company to recover personal injury damages only. On November 18, 1953, following trial on the merits, the said suit resulted in a verdict for plaintiff in the sum of $250.00. Judgment was entered on the verdict on December 15, 1953, and satisfied of record on December 30, 1953.
On January 27, 1954, Attorney C. instituted the present action against the Company in Saber’s name 1 to recover the $327.50 property damage. The Company filed an answer with new matter averring the prior suit and satisfaction of the judgment recovered therein. Admitting this averment, Saber replied that he was merely the nominal plaintiff in the present action, that the real party in interest was Universal, and that notice of Universal’s subrogation rights had been given by means of the letter of September 17, 1952. The Company then moved for judgment on the pleadings. As a result of this motion, judgment was entered for the defendant Company on July 19, 1954. This appeal followed.
Appellant concedes that a single negligent act causing an injury to both person and property of the same individual gives rise to but one cause of action with separate items of damage, but contends that “a recovery for either item of damage does not bar an action to recover the other item of damage where there is subrogation under an insurance policy contract”. In
Fields v. Philadelphia Rapid Transit Co.,
“The question raised by the record concerns the right to maintain separate proceedings for injuries to property and person, where the same event has caused losses to both. It is a well-settled and familiar rule *170 that a single claim, arising either in contract or in tort cannot be divided and made the subject of several suits; and if actions are brought for different parts of a single demand, a judgment on the merits in one is available as a bar to the other . . .” (italics supplied).
That a judgment on the merits in the action pleaded as a bar constitutes the controlling factor is indicated by
Frankel v. Quaker City Cab Co.,
Conceding the application of the foregoing rule as between the original parties, appellant argues “that the right of an insurer to subrogation cannot be defeated by the rendition and satisfaction of a judgment in favor of its insured after said right of subrogation has accrued”. It is true that subrogation is of equitable origin and its operation is governed by principles of equity:
Fell v. Johnston,
Appellant next contends that “where the pleadings disclose that the real party in interest is the nominal plaintiff’s collision insurance carrier, and where it has notice of the rights and interest of the said carrier, the defendant is estopped to assert as a defense satisfaction of a previous judgment in favor of nominal plaintiff for personal injury sustained in the same accident”. This argument is based upon the assumption that appellee had knowledge of appellant’s subrogation interest by virtue of the letter of September 17, 1952. But the letter in question does not in any way suggest the possibility of a subrogation claim, so that the issue appellant attempts to raise is not squarely presented. However, appellant’s argument has apparently been answered contrary to his contention in
Moltz v. Sherwood Bros.,
“There is a clear distinction between the instant ease and the case of Smith v. Yellow Cab Co., 288 Pa. *172 85,135 A. 858 . In that case the defendant settled the cause of action before judgment and paid the injured party voluntarily, after he had received notice of the employer’s claim for subrogation. In this case there was no settlement out of court. The defendant only paid the judgment which had been obtained against him. It was no defense to that judgment that the employer or insurance carrier might be entitled to receive a part of it. That was between them and the plaintiff in the judgment, but it was not a matter of defense to the judgment. The mere giving of notice to the defendant in the action did not relieve the employer or the insurance carrier of reasonable diligence in looking after its own claim, nor permit it to recover a second judgment on the same cause of action for which the injured employee had already recovered a judgment which had been satisfied”.
Judgment affirmed.
