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Great American Insurance Co., v Queen; (COA-PUB, 10/3/1978; RB #125)

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Michigan Court of Appeals; Docket No. 77-4457; Published   
Judges Allen, Cynar, and Freeman; Per Curiam   
Official Michigan Reporter Citation: 86 Mich App 362; Link to Opinion alt   


STATUTORY INDEXING:
Workers Comp Liens Regarding Auto Tort Claims [§3116]

TOPICAL INDEXING:
Workers Disability Compensation Act (MCL 418.1, et seq.)   


CASE SUMMARY:  
In a per curiam decision, this panel of the Court of Appeals unanimously concurred that a Workers' Compensation carrier is not entitled to be reimbursed from the injured employee's recovery of noneconomic losses from an automobile tortfeasor pursuant to the so-called workers' compensation lien set forth in MCLA 418.827(5).

This issue had previously produced a split of authority in the Court of Appeals (see Wrobel v Wayne County Road Commission, item number 56, and Reliance Insurance Company v Messina, item number 93). This panel of the Court of Appeals felt that the Reliance decision was "better reasoned" and adopted its result. In so holding, this panel stated "it makes no sense to us to reimburse plaintiff for monies' paid out for economic loss out of a later recovery for noneconomic loss. The two recoveries represent compensation for distinct losses, without providing any double recovery for the injured employee. To adopt plaintiff’s argument would be to deny complete recovery to a seriously injured employee while permitting any other person who suffers serious injury to recover in full. We do not believe that the Legislature in enacting the workers' compensation and no-fault acts intended such a result."


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