Michigan Court of Appeals; Docket No. 206785; Unpublished
Judges Doctoroff, Markman, and Sullivan; Unanimous; Per Curiam
Official Michigan Reporter Citation: Not Applicable; Link to Opinion 
STATUTORY INDEXING:
PIP Insurer’s Right to Reimbursement for Claims Paid Arising Out of Uninsured Vehicle Injuries [§3177(1)]
TOPICAL INDEXING:
Motor Vehicle Code (Registration and Title Requirements) (MCL 257.201, et seq.)
CASE SUMMARY:
In this unanimous unpublished per curiam Opinion, the Court of Appeals affirmed the trial court's dismissal of a subrogation claim filed by plaintiff Farmers under section 3177 seeking reimbursement from defendant for uninsured motorist benefits paid by plaintiff as a result of an accident which, plaintiff claimed, was caused by an uninsured vehicle owned by defendant. The trial court ruled that defendant was not the owner of the vehicle, because he had properly transferred ownership six (6) months before the accident. Therefore, there was no liability under section 3177 because such reimbursement claims can only be made against "the owner or registrant of the uninsured motor vehicle."
The defendant in this case had sold his motor vehicle to William Thomas in "an arm's length" sale that occurred approximately six (6) months before the accident date. At the time of that sale, defendant signed the certificate of title and gave it to Mr. Thomas. It was disputed whether defendant removed the license plates or whether he inadvertently left the license plate on the vehicle after signing over the title. n
The court affirmed the trial court's conclusion that regardless of whether the license plate had been left on the vehicle, there was a bona fide sale which transferred ownership of the vehicle from the defendant to Mr. Thomas. The court held that defendant was not the registrant of the vehicle, because under MCLA 257.234, a vehicle becomes "unregistered" unless registration is transferred and a fee paid within 15 days after a sale. Because registration had not been transferred within this time frame, defendant was not the registrant of the vehicle.
Therefore, because defendant had signed off on the certificate of title, transferred the certificate of title, delivered possession of the vehicle, and received payment for same, a bona fide sale transferring ownership of the vehicle had been completed and defendant no longer was the owner or registrant with liability under section 3177.
