United States District Court for the Western District of Michigan; Docket No. M80-12 CA2; G80-818 CA7
Chief Judge Wendell A. Miles
Official Federal Reporter Citation: Not Applicable; Link to Opinion 
STATUTORY INDEXING:
Not Applicable
TOPICAL INDEXING:
Not Applicable
CASE SUMMARY:
In this written Opinion, Judge Miles ruled that the United States of America did not have a right to seek reimbursement from the defendant insurance companies under the provisions of the Medical Care Recovery Act (MCRA) 42 USC §2651,(revised 3/31/84) for medical expenses it paid on behalf of individuals who were severely injured in auto accidents in the State of Michigan. In the first of these two consolidated cases, the injured person was entitled to medical treatment through the Veterans Administration. In the second case, the injured victim was a seaman under federal law and thus entitled to medical treatment through a United States public service hospital.
The Medical Care Recovery Act provides that when the United States is authorized to furnish medical care and treatment to a person injured "under circumstances creating a tort liability upon some third person," the government shall have a right to recover from that person. Judge Miles held that this statute did not give the United States a right to reimbursement in this case because, under the terms of §3135 of the Michigan No-Fault Act, the victims of these accidents did not have a right to pursue a tort cause of action to recover the medical expenses incurred. Judge Miles noted, "Congress chose a particular theory, recovery based on tort liability of a third person, and this Court believes it is constrained by that language. Under Michigan's No-Fault Act, in the context of this case, traditional principles of tort liability have been abolished. Therefore, the United States is not entitled to recover from any of the defendants under the MCRA."
