HB-4680, As Passed House, April 2, 2009
March 24, 2009, Introduced by Rep. Meadows and referred to the Committee on Judiciary.
A bill to amend 1956 PA 218, entitled
"The insurance code of 1956,"
by amending section 3135 (MCL 500.3135), as amended by 2002 PA 697.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 3135. (1) A person remains subject to tort liability for
noneconomic loss caused by his or her ownership, maintenance, or
use of a motor vehicle only if the injured person has suffered
death, serious impairment of an important body function, or
permanent serious disfigurement.
(2) For a cause of action for damages pursuant to subsection
(1) filed on or after July 26, 1996, all of the following apply:
(a) The issues of whether an injured person has suffered
serious impairment of an important body function or permanent
serious
disfigurement are questions of law for the court if the
court
finds either of the following:
(i) There is no factual dispute concerning the nature
and
extent
of the person's injuries.
(ii) There is a factual dispute concerning the nature
and
extent
of the person's injuries, but the dispute is not material to
the
determination as to whether the person has suffered a serious
impairment
of body function or permanent serious disfigurement.
However,
for there is no genuine issue
as to any material fact. If
there is a genuine issue as to any material fact, the issues of
whether an injured person suffered serious impairment of an
important body function or permanent serious disfigurement are
questions of fact for the jury. For a closed-head injury, a
question of fact for the jury is also created if a licensed
allopathic or osteopathic physician who regularly diagnoses or
treats closed-head injuries testifies under oath that there may be
a serious neurological injury.
(b) Damages shall be assessed on the basis of comparative
fault, except that damages shall not be assessed in favor of a
party who is more than 50% at fault.
(c) Damages shall not be assessed in favor of a party who was
operating his or her own vehicle at the time the injury occurred
and did not have in effect for that motor vehicle the security
required by section 3101 at the time the injury occurred.
(3) Notwithstanding any other provision of law, tort liability
arising from the ownership, maintenance, or use within this state
of a motor vehicle with respect to which the security required by
section 3101 was in effect is abolished except as to:
(a) Intentionally caused harm to persons or property. Even
though a person knows that harm to persons or property is
substantially certain to be caused by his or her act or omission,
the person does not cause or suffer that harm intentionally if he
or she acts or refrains from acting for the purpose of averting
injury to any person, including himself or herself, or for the
purpose of averting damage to tangible property.
(b) Damages for noneconomic loss as provided and limited in
subsections (1) and (2).
(c) Damages for allowable expenses, work loss, and survivor's
loss as defined in sections 3107 to 3110 in excess of the daily,
monthly, and 3-year limitations contained in those sections. The
party liable for damages is entitled to an exemption reducing his
or her liability by the amount of taxes that would have been
payable on account of income the injured person would have received
if he or she had not been injured.
(d) Damages for economic loss by a nonresident in excess of
the personal protection insurance benefits provided under section
3163(4). Damages under this subdivision are not recoverable to the
extent that benefits covering the same loss are available from
other sources, regardless of the nature or number of benefit
sources available and regardless of the nature or form of the
benefits.
(e) Damages up to $500.00 to motor vehicles, to the extent
that the damages are not covered by insurance. An action for
damages pursuant to this subdivision shall be conducted in
compliance with subsection (4).
(4) In an action for damages pursuant to subsection (3)(e):
(a) Damages shall be assessed on the basis of comparative
fault, except that damages shall not be assessed in favor of a
party who is more than 50% at fault.
(b) Liability shall not be a component of residual liability,
as prescribed in section 3131, for which maintenance of security is
required by this act.
(5) Actions under subsection (3)(e) shall be commenced,
whenever legally possible, in the small claims division of the
district court or the municipal court. If the defendant or
plaintiff removes the action to a higher court and does not
prevail, the judge may assess costs.
(6) A decision of a court made pursuant to subsection (3)(e)
is not res judicata in any proceeding to determine any other
liability arising from the same circumstances as gave rise to the
action brought pursuant to subsection (3)(e).
(7) As used in this section, "serious impairment of an
important body function" means an objectively manifested injury or
impairment
of an important body function that affects or did affect
the
injured person's general ability to lead live his
or her normal
life. Serious impairment of an important body function does not
require proof that the injury or impairment or its effect met
either of the following:
(a) Is or was permanent, severe, extensive, or pervasive or
lasted for a significant period of time.
(b) Altered the course or trajectory of the injured person's
life; caused the injured person to be generally, or for the most
part, unable to live his or her normal life; caused the injured
person's life to be substantially different after the injury than
it was before; or that the body function in question is essential
or indispensable to sustaining or living a normal life.
(8) The changes made by the amendatory act that added this
subsection apply to any cases pending in the trial or appellate
court on the effective date of the amendatory act that added this
subsection and to any cases filed on or after the effective date of
the amendatory act that added this subsection.