Michigan Court of Appeals; Docket No. 54644; Published
Judges Gillis, Bashara, and Sanborn; Unanimous; Per Curiam
Official Michigan Reporter Citation: 109 Mich App 136; Link to Opinion
STATUTORY INDEXING:
Prohibition Against Assigning Future Right to Benefits [§3143]
TOPICAL INDEXING:
Release and Settlements
CASE SUMMARY:
In a case of first impression, the Court of Appeals ruled that a release of future no-fault benefits given by plaintiff to her insurance company as part of a settlement of a lawsuit for PIP benefits it not void under §3143 as an "assignment of a right to benefits payable in the future." In addition, the court, held that a release of future benefits is not void as being against public policy. The court stated: "We find the use of a release of future benefits in settlement of a reasonably disputed claim does not constitute a course of conduct which is cruel or shocking to the average man's conception of justice." In addition, the court noted that the plaintiff had not taken the necessary step of tendering back to defendant the amount of money which was paid to her as part of the prior settlement.