Commercial Kitchen Grease Fires

Step-by-step checklist

Identify

Contact the claim adjuster right away. Ask them to hold the scene and for permission to retain an expert at the client's expense. Note the call in the file.
On every claim, ask the client whether they want an origin and cause investigator to review the scene, or confirm one is already assigned. Note their answer in the file so the decision is on record.
Make sure no evidence is touched or moved until the expert has secured the scene
Get the client's approval for the scene exam cost. Most run at least $1,600 with travel, the day rate, and expenses.
Find the area of origin: cooking line, hood, duct, fan, or somewhere else in the building
Get the lease and every party's insurance information
Get the hood cleaning and suppression inspection records

Hands off until the expert arrives. Nothing at the scene gets touched, moved, repaired, or thrown out until the origin and cause investigator has secured it. Evidence that's moved early can sink the whole recovery.

Notify

Retain a fire origin-and-cause expert right away, because commercial scenes get cleared fast
Put the tenant, landlord, hood cleaner, suppression company, maintenance company, and every manufacturer on notice
Ask every party to hold the evidence: suppression system parts, appliances, filters, and duct sections

Investigate

Hold the joint scene exam before debris removal
Compare the cleaning and inspection dates to what the code requires for that kitchen
Pull employee statements, schedules, closing checklists, and security video
Lab-test failed appliances and suppression parts, then review the expert's report

Demand

Review payments and out-of-pocket costs, including business income and extra expense
Sort the supports into photos, estimates, invoices, mitigation records, and reports
Send the full demand packet to each responsible party's carrier

Negotiate

Follow up. No response? Send the second demand.
Review lease waivers and service contract liability limits
If liability is accepted, negotiate. If not, review for ADR.

Settle

Review the release
Receive payment, issue the deductible and client payments
Final file review, then close

1. Identify

How commercial kitchen fires start

Grease buildup in the hood, filters, ductwork, or exhaust fan catches fire
A fryer's thermostat or high-limit switch fails and the oil overheats
Equipment is left on after closing, or cooking is left unattended
Filters are missing, installed wrong, or the wrong type
The suppression system doesn't go off, goes off late, or doesn't cover the appliance under it, often because equipment was moved or swapped after the system was set up
The exhaust fan fails, or the duct has gaps or leaks that let grease collect inside walls and ceilings
An employee spills oil on a burner, drops a wet or frozen product into a fryer, or leaves a towel on a hot surface
Other sources in the building: electrical, a smoking area, or a dumpster or grease-trap fire

Who may be responsible

What you find	Likely cause	Who may be responsible
Heavy grease in the duct, and cleanings missed or late	Cleaning not done on schedule	The tenant, or the landlord if the lease made it the landlord's job
A recent cleaning sticker on the hood, but grease left in the duct or fan	Poor or incomplete cleaning	Hood cleaning company
Suppression system didn't go off, or didn't cover the appliance	Poor inspection, poor design, or equipment moved	Suppression company, tenant, or manufacturer
Fryer oil overheated	Failed thermostat or high-limit switch	Fryer manufacturer, or the company that last repaired it
Fire started after hours with equipment left on	Employee error or closing procedures	The tenant, as the employer
Duct gaps, missing access panels, or duct too close to things that burn	Poor installation	Hood or duct installer, general contractor
Fire started soon after a repair or service call	Poor service	Maintenance company, or the employer of the in-house maintenance team

Commercial leases are key

Read the whole lease early, including amendments and any rules and regulations. Commercial leases usually require the tenant to keep the space safe and up to code, and to carry insurance. Look for:

Who must clean and maintain the hood, duct, fan, and suppression system. It is usually the tenant.
A clause requiring the tenant to keep the premises safe and follow fire and health codes
A clause requiring the tenant to carry liability and property insurance, often naming the landlord as an additional insured
Indemnity clauses: who agreed to cover whose losses
Waiver of subrogation clauses, which can block recovery between the landlord and the tenant. Check exactly who the waiver covers, what kind of loss, and whether it was in effect on the date of loss.
Whether your insured is the landlord, the tenant, or a neighboring tenant. The lease tells you who owed what to whom.

Employee-caused fires

An employer is usually responsible for what its employees do on the job. If a restaurant employee caused the fire, the claim runs against the restaurant and its liability carrier. One caution: if your insured is the employer, you generally cannot subrogate against your own insured or its employees. If the restaurant is a tenant, also check whether it counts as a co-insured under the landlord's policy (see the Tenant and Landlord Losses guide).

Responsible parties to consider

The restaurant operator (usually the tenant) and its employees
The landlord or property manager
The hood and duct cleaning company
The fire suppression inspection and installation company
The maintenance company, or the employer of the in-house maintenance team
The manufacturers of the fryer, range, hood, exhaust fan, suppression system, and any other appliance in the area of origin
The general contractor and installers, on newer builds or remodels
A franchisor, if the franchise agreement controlled the equipment or the cleaning schedule

2. Notify and investigate

Move fast. Commercial fire scenes get cleared quickly so the business can reopen. Retain an origin-and-cause expert, and an electrical engineer if needed, and put every party on notice before any debris is removed.

Put every manufacturer on notice. In a commercial kitchen, notify the maker of every appliance in the area of origin, plus the hood, the exhaust fan, and the suppression system. Until the expert rules them out, each one is a possible cause, and a manufacturer that wasn't invited to the scene exam will argue the evidence was lost without them.

Who to put on notice

The tenant and the landlord, if either is not your insured
The hood and duct cleaning company
The suppression inspection and installation company
The maintenance company
Every manufacturer in the area of origin
Each party's carrier, once known

Records to request

The lease, amendments, and any rules and regulations
Certificates of insurance for the tenant, landlord, cleaners, inspectors, and maintenance company
Hood and duct cleaning invoices, service reports, before-and-after photos, and the cleaning sticker on the hood
Suppression system inspection reports, tags, and any deficiency notices
Fire marshal and health department inspection reports
Equipment repair records and maintenance team work orders
Employee schedules, closing checklists, training records, and statements
Security camera video and alarm company records, which show when the fire started
The fire department report and 911 call times

Code checks

NFPA 96 sets how often hoods and ducts must be inspected and cleaned, based on how much cooking the kitchen does:

Monthly: solid fuel cooking, like wood or charcoal
Quarterly: high-volume cooking, like 24-hour restaurants, charbroiling, or wok cooking
Every six months: moderate-volume cooking
Yearly: low-volume cooking, like churches, day camps, or seasonal businesses

Kitchen suppression systems (NFPA 17A) must be inspected by a trained, certified technician every six months, and modern systems should meet the UL 300 standard for today's cooking oils. A Class K extinguisher should be near the cooking line. Local fire codes and the fire marshal may set stricter rules.

Evidence checklist

Photos and video of the cooking line, hood, filters, duct, access panels, exhaust fan, and roof
The suppression system: tank, fusible links, nozzles, pull station, and gas shutoff
Appliances in the area of origin, including controls, thermostats, and high-limit switches
Duct sections showing how much grease was built up
The cleaning sticker on the hood
Mitigation, board-up, and cleanup records

Exams

Hold a joint scene exam before debris removal, with every party notified. Then hold a joint lab exam for the appliances and suppression parts before any testing that could change them.

3. Demand, negotiate, and settle

Liability theories

Against the tenant: breach of the lease's maintenance, safety, and insurance clauses, and negligence, including its employees' actions
Against the hood cleaner: negligent cleaning and breach of contract
Against the suppression company: negligent inspection, design, or installation, and breach of contract
Against the maintenance company: negligent repair or maintenance
Against manufacturers: product defect, failure to warn, and breach of warranty
Against the landlord: failure to meet its own lease or code duties, when your insured is the tenant or a neighbor

These are big-dollar files. Expect building damage, business income, extra expense, and neighboring tenants' losses, often with several carriers involved. Document every category of loss and keep each responsible party's carrier informed.

Defenses to expect

Defense	How to answer it
The lease has a waiver of subrogation	Read the exact wording. Check who it covers, what kind of loss, and whether it was in effect. Some waivers only apply up to the insurance the lease required.
Our service contract limits our liability	Read the exact clause. Some don't cover negligence, and some states limit how far these clauses reach.
We cleaned what we were paid to clean, or the duct wasn't reachable	Their contract scope, invoices, and photos. A cleaner who skipped sections should have reported it in writing.
The suppression system worked, but the fire started outside its coverage	Compare the appliance layout to the system design, and check whether it was re-inspected after equipment changed.
It was employee error, not our product	The expert's findings and the product's history.
The tenant is a co-insured under the landlord's policy	The lease language controls. See the Tenant and Landlord Losses guide.

Negotiating and settling

Expect the parties to blame each other. Keep everyone on notice until the expert rules them out.
Hood cleaners and suppression companies are often small businesses with low limits. Get their certificates of insurance early.
Compare the insurance the lease required with the tenant's actual policy.
Review the release with the release checklist, then close with the standard closing letter and the deductible reimbursement letter.

4. Letters for this loss

Step	Letter	Sent to
Identify	Subrogation Opening Letter to Insured	Insured: lease, records, keep evidence
Notify	Notice of Subrogation Interest and Insurance Request	Tenant, landlord, cleaner, suppression company, maintenance company, manufacturers
Notify	Notice of Subrogation Interest to Adverse Carrier	Each party's carrier
Investigate	Evidence Preservation and Joint Scene Exam Notice and to Responsible Party	All parties
Investigate	Joint Lab Exam Notice	All parties, before testing appliances or suppression parts
Demand	Subrogation Demand to Adverse Carrier	Carrier(s)
Negotiate	Second Demand with Escalation Notice, Tolling Agreement Request	Carrier(s)
Settle	Release Review Checklist, Closing (Made Whole) or Pro Rata, Deductible Reimbursement	Client and insured

Sources