Discussion Board 3:1 - Legal Principles Jeff is a book dealer who purchased a building from Richard. Jeff obtained a loan from the Gateway Bank to purchase the building, so Gateway holds a mortgage on the building. Jeff planned to store his inventory of books in the building. He also planned to use part of the building for a fast-food restaurant. When Jeff applied for property insurance on the building, he did not tell the agent about the fast-food restaurant because premiums would be substantially higher. Eight months after the policy was issued, a re occurred in the restaurant that caused substantial damage to the building. 1. Do any of the following parties have an insurable interest in the building at the time of loss? Explain your answer. 0 Jeff 0 Richard 0 Gateway Bank 2. Richard told Jeff he could save money by taking over Richard's insurance instead of purchasing a new policy. Can Richard validly assign his existing property insurance policy to Jeff without notifying the insurer? Explain your answer. 3. Could Jeff's insurer deny coverage for the re loss based on a material concealment? Explain your answer. 4. Investigation of the re revealed that an electrician improperly wired an electrical outlet in the restaurant, which caused the re. Explain how subrogation might apply in this case