Reynolds v DAIIE; (COA-UNP, 6/3/1987; RB #1050)


Michigan Court of Appeals; Docket No. 88899: Unpublished  
Judges Beasley, Hood, and Borradaile; Unanimous; Per Curiam  
Official Michigan Reporter Citation:  Not Applicable; Link to Opinion alt   

General Rule of Priority [§3114(1)]  
Exception for Employer Provided Vehicles [§3114(3)]

Motor Vehicle Code (Definition of Owner) (MCL 257.37) (MCL 257.401a)   

In this unanimous per curiam Opinion, the Court of Appeals interpreted the priority provisions of §3114(3) of the Act which state that an employee sustaining injury while occupying a motor vehicle owned or registered by the employer shall receive no-fault benefits from the insurer of the furnished vehicle. In this case, the vehicle was owned by one corporation and leased to plaintiff’s employer. The Court of Appeals held that pursuant to MCLA 25737, an "owner" includes any person or entity having exclusive use of a vehicle under a leave for a period of greater than 30 days. Under this definition, plaintiff’s employer as well as the legal titleholder of a vehicle would be considered owners for purposes of priority of payment under §3114(3). Plaintiff’s personal insurer had no obligation and was thus properly dismissed from the case.