Boyd v. W G Wade Shows

505 N.W.2d 544, 443 Mich. 515
CourtMichigan Supreme Court
DecidedAugust 31, 1993
Docket93145, (Calendar No. 11)
StatusPublished
Cited by93 cases

This text of 505 N.W.2d 544 (Boyd v. W G Wade Shows) is published on Counsel Stack Legal Research, covering Michigan Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Boyd v. W G Wade Shows, 505 N.W.2d 544, 443 Mich. 515 (Mich. 1993).

Opinions

Mallett, J.

The present case involves the extraterritorial jurisdiction of the Bureau of Workers’ Disability Compensation. We hold that the bureau has jurisdiction and remand the case for further proceedings consistent with this opinion.

I

The Bureau of Workers’ Disability Compensation addressed the current dispute on a brief stipulation of facts that Willie Boyd was an Illinois resident, that he entered into a contract of employment in Michigan, that while executing his duties pursuant to the contract he sustained a personal injury and died in Indiana, and that the injury and death arose out of and in the course of his employment.

[517]*517Boyd’s widow filed a petition for benefits with the bureau. The magistrate dismissed the claim for want of jurisdiction, and the Workers’ Compensation Appellate Commission affirmed. The Court of Appeals denied plaintiff’s application for leave to appeal, which this Court then granted. 441 Mich 931 (1993).

II

Section 845 of the workers’ compensation act grants extraterritorial jurisdiction to the Bureau of Workers’ Disability Compensation over claims resulting from injuries that occur outside Michigan.

The bureau shall have jurisdiction over all controversies arising out of injuries suffered outside this state where the injured employee is a resident of this state at the time of injury and the contract of hire was made in this state. Such employee or his dependents shall be entitled to the compensation and other benefits provided by this act. [MCL 418.845; MSA 17.237(845).]

In addition, the act broadly defines employees covered by the act.

Every person performing service in the course of the trade, business, profession, or occupation of an employer at the time of the injury, provided the person in relation to this service does not maintain a separate business, does not hold himself or herself out to and render service to the public, and is not an employer subject to this act. [MCL 418.161(l)(d); MSA 17.237(161)(l)(d).]

Juxtaposed against these statutory provisions is Roberts v IXL Glass Corp, 259 Mich 644; 244 NW 188 (1932), the landmark case interpreting an [518]*518earlier version of § 845 and enunciating the Michigan rule of law regarding extraterritoriality. In Roberts, the plaintiff contracted for employment in Michigan with a resident corporation. However, he resided, performed all services, and received his injury outside Michigan. The defendant argued that the statutory requirement1 2of residency in the state at the time of the injury limited the jurisdiction of the industry accident board and, for that reason, the board lacked jurisdiction.

This Court disagreed, and concluded that the claimant was entitled to compensation even though he was not a Michigan resident.

[W]e are satisfied that the reasonable construction and the one necessary to carry out the legislative intent appearing from the whole act is that it covers nonresident as well as resident employees in those cases wherein the contract of employment is entered into in this State with a resident employer.[2]

The Court interpreted the jurisdictional provision in pari materia with the respective statutory provisions broadly defining the term “employee”3 and [519]*519setting forth the scope of the statute’s coverage.4

[Defendant’s] contention [regarding residency] would come with much, if not controlling, force if it were not in conflict with other portions of the statute. It is quite significant that this recital as to the employee being a resident at the time of injury was embodied by the amendment in the procedural part (part 3) of the act only; but was not inserted in the part of the act (part 1) which defines and fixes the rights and liabilities of employers and employees. . . . Further, the quoted portion of section 6[5] seems conclusive of the fact that the original enactment was intended to cover "all employees” regardless of residence or the locus of the accident. [Roberts, supra at 647.]

This Court further noted that the statute expressly provided for compensation to the dependents of a fatally injured employee regardless of the residence of the dependents. "As a matter of legislative policy it would be quite inconsistent”6 to deny compensation to an injured employee because he was a nonresident, while awarding compensation to the dependents of a fatally injured employee regardless of residence.

At the time this Court decided Roberts, the workers’ compensation act was elective, that is, an employer was not automatically subject to the act’s provisions. However, the Legislature [520]*520amended the act in 1943, making it compulsory.7 Shortly after the 1943 amendment, this Court addressed the jurisdictional provision of the act but failed to mention Roberts. See Cline v Byrne Doors, Inc, 324 Mich 540; 37 NW2d 630 (1949); Daniels v Trailer Transport Co, 327 Mich 525; 42 NW2d 828 (1950). The omission of Roberts from the analyses of those cases is fathomable; Cline and Daniels are distinguishable from Roberts in that they involved claims for additional benefits under the act after the employee first obtained compensation from the state where the injury occurred.

Some time later, in Austin v W Biddle Walker Co, 11 Mich App 311; 161 NW2d 150 (1968), the Court of Appeals reaffirmed Roberts. Austin was a Kentucky resident who contracted in Michigan with a Michigan corporation. Austin worked for a brief period in Michigan, but was transferred to Kentucky, where he sustained an injury. The wcab found that because the contract of employment was entered into in Michigan, the board had jurisdiction pursuant to Roberts. The Court of Appeals affirmed and concluded that statutory amendments making the act compulsory had no eifect on the holding in Roberts.8 Judge Levin dissented because of his disagreement with the majority’s emphasis on the place of contracting. Nonetheless, he persuasively asserted that strict adherence to the residency requirement in § 845 is neither warranted nor desirable.

It is now 35 years since Roberts was decided. Whatever may have been the legislative intention at the time of adoption of the residency require[521]*521ment (CL 1948, § 413.19 [Stat Ann 1960 Rev § 17.193]), it would be inappropriate at this late date to attempt to breathe new life into a statutory provision which was aborted so long ago. If the legislature desired to insist on a residency requirement, it could have done so at any time within the last 35 years; it was inferentially invited to do so in Roberts, p 649.[9]

Despite the continued vitality of Roberts as recognized in Austin, the Court of Appeals has begun to interpret § 845 in contravention of Roberts. In Wolf v Ethyl Corp, 124 Mich App 368; 335 NW2d 42 (1983), the plaintiff was hired in Michigan by a Virginia corporation. Following a transfer to and while working in New York, the plaintiff resided in Connecticut.

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Cite This Page — Counsel Stack

Bluebook (online)
505 N.W.2d 544, 443 Mich. 515, Counsel Stack Legal Research, https://law.counselstack.com/opinion/boyd-v-w-g-wade-shows-mich-1993.