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HKPC Obtains Affirmance Of Involuntary Dismissal From The Michigan Court Of Appeals In A First Party No-Fault Benefits Suit Seeking Penalty Interest And Attorney Fees

Sefika Ademi v. State Farm Mutual Automobile Insurance Company and Amerisure Insurance Company, Court of Appeals No. 319934.

Suit brought by the widow of a truck driver killed in a motor vehicle accident, seeking no-fault benefits, penalty interest and attorney fees. The widow’s claim for survivor’s loss benefits was resolved, but the case proceeded to a bench trial on the issue of entitlement to funeral expenses, penalty interest and attorney fees. At the close of proofs, the trial court granted Amerisure’s motion for involuntary dismissal, agreeing that funeral benefits were not a first party no-fault benefit at the time of the accident, and agreed that the plaintiff failed to provide reasonable proof of the amount of the replacement services and survivor’s loss benefits. Since reasonable proof of the amount of the loss sustained was not provided, the PIP benefits were not “overdue” under MCL 500.3142(2) and the plaintiff was not entitled to penalty interest (MCL 500.3142(3)) nor attorney fees (MCL 50.3148(1)). The Court of Appeals affirmed, in a 14 page Opinion.