Michigan Court of Appeals; Docket No. 108884; Unpublished
Judges Sullivan, Maher, and Clulo; Unanimous; Per Curiam
Official Michigan Reporter Citation: Not Applicable; Link to Opinion 
STATUTORY INDEXING:
Allowable Expenses: Reasonable Necessity Requirement [§3107(1)(a)]
Allowable Expenses: Reasonable Charge Requirement [§3107(1)(a)]
TOPICAL INDEXING:
Injunctive and Equitable Relief in PIP Cases
CASE SUMMARY:
In this unanimous per curiam Opinion, the Court of Appeals, by leave granted, affirmed the trial court's grant of a preliminary injunction requiring AAA to pay for medical and rehabilitative services provided to its insured. Glynn Ulbrich sustained serious injury resulting in continuing mental and motor function impairments requiring psychological, physical, cognitive, occupational and recreational therapy. At first, these services were provided by a company at the cost of about $8,000 per month. These services were voluntarily paid. However, the insured's next friend became dissatisfied with the services, and placed Glynn in the care of General Health Corporation. The cost of services provided by General Health were substantially higher, approximately $25,000 per month. AAA contested the reasonableness of these charges and filed a declaratory judgment action contesting its liability for all of the charges.
A counterclaim was filed on behalf of the insured, seeking a preliminary injunction requiring AAA to continue paying for Glynn's care in full. It was alleged that Glynn had made "suicidal attempts" as a consequence of the financial strain caused by the cutting off of no-fault benefits. The trial court granted a preliminary injunction requiring AAA to pay in full. After filing an emergency application for leave to appeal, the Court of Appeals affirmed the grant of a preliminary injunction, insofar as it ordered AAA to pay reasonable benefits. The trial court's order that the medical service provider also post a $50,000 surety bond as security for AAA's costs pending a trial and final judgment was also affirmed.
The Court of Appeals, noting that evidence amply supported the contention that Glynn would suffer serious physical harm, including death, due to his self-destructive behavior, held that this evidence supported grant of a preliminary injunction to preserve the "status quo." However, the court modified the trial court's ruling requiring all of the charges to be paid, and established a formula for payment of a portion of General Health's charges pending resolution of the matter at trial.
