Michigan Court of Appeals; Docket No. 62993; Published
Judges Holbrook, Hood, and Green; Unanimous; Opinion by Judge Holdbrook
Official Michigan Reporter Citation: 128 Mich App 365; Link to Opinion 
STATUTORY INDEXING:
Not Applicable
TOPICAL INDEXING:
Private Contract (Meaning and Intent)
CASE SUMMARY:
In this unanimous Opinion by Judge Holbrook, the Court of Appeals held that the Michigan No-Fault Act does not bar an action for recovery of property damages arising out of a motor vehicle accident where the parties entered into a legally enforceable contract both before and after the accident making the defendants responsible for returning a certain motor vehicle (a trailer) in undamaged condition.
The plaintiffs in this case agreed to allow defendants the use of a certain horse trailer to transport a pony. Allegedly there was an agreement between the parties that in exchange for the benefit of being able to use the trailer, defendants promised to assume all liability for any damages that might occur to the trailer while it was in the defendants' possession.
The Court of Appeals held that §3135(2) does not prohibit the plaintiffs from maintaining a lawsuit for breach of contract against the defendants for failing to repair the property damage. §3135(2) provides that tort liability arising from the ownership, maintenance of a motor vehicle is abolished except as to these certain circumstances which are set forth in this section. Statutes which abolish the common law should be narrowly construed. The term "tort liability" is clear and unambiguous and does not include liability that might arise out of a legally enforceable contract Had the legislature intended to abrogate contractual liability, they would have used the words "any liability."
