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Cadillac Insurance Company v American Community Mutual Insurance Company and Holiday Meats, Inc; (USD-UNP, 4/5/1989; RB #1266)

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United States District Court, Eastern District of Michigan, Southern Division; Docket No. 88-CV-73808-DT;    
Judge Bernard A. Friedman; Unpublished
Official Federal Reporter Citation:  Not Applicable; Link to Opinion alt    


STATUTORY INDEXING:  
Coordination with Other Health and Accident Medical Insurance [§3109a]  
Coordination with ERISA Plans [§3109a]

TOPICAL INDEXING:
Employee Retirement Income Security Act (ERISA – 29 USC Section 1001, et seq.)    


CASE SUMMARY:  
In this action, plaintiff Cadillac sought to have defendants provide medical benefits to 16 insured individuals for injuries they sustained in automobile accidents. Each of the persons had submitted their medical bills for payment under their group health insurance policies and been refused benefits based upon conflicting coordination of benefits clauses in their policies. Defendant Holiday Meats, Inc. removed the action to federal court from Wayne County on the basis that the claim was preempted by the provisions of ERISA.

On motion by defendants for dismissal, the court found that Cadillac had the right to bring action in state court to enforce compliance with the provisions of the No-Fault Act regarding coordination, especially in light of the decision in Federal Kemper.

In reliance upon the decision in Northern Group Services v Auto Owners Insurance Company, 833 F2d 85 (CA 6,1987), Judge Friedman found that ERISA does not preempt plaintiffs claim brought under the No-Fault Act, and therefore, there was no federal question involved in mis action. As a result, the case was remanded to Wayne County for further proceedings.

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