Michigan Court of Appeals; Docket No. 91147; Published
Judges Kelly, Doctoroff, and Corden; Unanimous; Per Curiam
Official Michigan Reporter Citation: 176 Mich App 706; Link to Opinion 
STATUTORY INDEXING:
Nature and Scope of PPI Benefits (Property Damage and Loss of Use) [§3121(1)]
Vehicles and Trailers, Including Motorcycles [§3123(1)(a)]
TOPICAL INDEXING:
Not Applicable
CASE SUMMARY:
In this unanimous Opinion by Judge Corden, the Court of Appeals reversed a trial court granting of partial summary disposition for property protection benefits in a case where plaintiff’s train was derailed by a pile of dirt left on the tracks at a crossroad by the defendant insured's snowplow.A train owned by plaintiff Michigan Northern approached a crossing where a Road Commission snowplow had recently plowed. A pile of dirt was left on the tracks, which the train struck and, as a result, was derailed. Plaintiff claimed no-fault property protection benefits under § 3121(1) allowing for benefits where accidental damage to tangible property arises out of the ownership, operation, maintenance or use of a motor vehicle as a motor vehicle.
The court first addressed the statutory exclusion for damage to property including "vehicles and their contents... operated or designed for operation upon a public highway." The court held that the train engine was not a vehicle operated or designed for operation on a public highway under the provisions of §3121. However, the court also was required to address whether or not the damage arose out of the ownership, operation, maintenance or use of a motor vehicle as a motor vehicle. As to this issue, the court found that it was not the operation of defendant Road commission's vehicle that caused the accident, but the residual effect of the act of plowing or grading the road. Therefore, plaintiff’s damages do not arise out of the ownership, operation, maintenance or use of a motor vehicle and are not covered by the No-Fault act. Therefore, the trial court's decision was reversed.
