Wayne County Circuit Court; Docket No. 79-920175-CK; Unpublished
Judge William J. Giovan; Written Opinion
Official Michigan Reporter Citation: Not Applicable; Link to Opinion 
STATUTORY INDEXING:
Scope of Mandated Coverages [§3131(1)]
TOPICAL INDEXING:
Motor Vehicle Code (Financial Responsibility Act) (MCL 257.501, et seq.)
CASE SUMMARY:
In a written Opinion, Judge Giovan held that a liability insurer could not avoid liability on a tort judgment on the basis that the insured failed to cooperate in the defense. Judge Giovan noted that §3131 of the no-fault act specifies what kind of residual liability insurance coverage is required. That section refers to compliance with the Financial Responsibility Act The applicable provision of that Act [MCLA 257.520(f)(1)] negates the noncooperation of the insured as a defense by the insurer against the judgment creditor. Since §3131 of the No-Fault Act incorporates those provisions for the residual liability coverage mandated by the Act, the noncooperation of an insured person does not relieve the insurer of liability for a tort judgment
Judge Giovan noted that the statutes construed do not expressly prohibit an insurer from abandoning the defense of a noncooperating insured. However, liability on the judgment could not be avoided.