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Auto-Owners Ins Co v Corduroy Rubber Company; (COA-UNP, 6/22/1987; RB #1064)

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Michigan Court of Appeals; Docket No.90026; Unpublished  
Judges Walsh, Hood, and Taylor; Unanimous; Per Curiam  
Official Michigan 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 unanimous per curiam Opinion, the Court of Appeals affirmed summary disposition in favor of defendant Corduroy Rubber Company. Plaintiff Auto-Owners as subrogee of its insured had sued defendant for reimbursement of medical expenses paid to its insured arising out of a motor vehicle accident. Auto-Owners had a coordination of benefits clause under §3109a providing that no-fault benefits would be reduced by benefits received by the insured from any health care plan. Conversely, Corduroy Rubber Company provided group health insurance to the injured party, and its plan contained a clause which stated that benefits were not payable regarding injuries received in motor vehicle accidents for which a no-fault insurance policy was in effect.

The defendant contended that state laws regarding employee benefit plans were preempted by the Federal Employee Retirement Income Security Act (ERISA). The Court of Appeals, in reliance upon the decision in State Farm v CA Muer Corp, (Item No. 951) held that the federal ERISA statute preempted §3109a of the No-Fault Act, requiring that the dismissal of Auto-Owners' action be affirmed.

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