Coalition Protecting Auto No-Fault v. Michigan Catastrophic Claims Ass'n

894 N.W.2d 758, 317 Mich. App. 1
CourtMichigan Court of Appeals
DecidedAugust 25, 2016
DocketDocket 314310
StatusPublished
Cited by12 cases

This text of 894 N.W.2d 758 (Coalition Protecting Auto No-Fault v. Michigan Catastrophic Claims Ass'n) is published on Counsel Stack Legal Research, covering Michigan Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Coalition Protecting Auto No-Fault v. Michigan Catastrophic Claims Ass'n, 894 N.W.2d 758, 317 Mich. App. 1 (Mich. Ct. App. 2016).

Opinions

Borrello, J.

ON REMAND

Following oral argument, on October 16, 2015, our Supreme Court, in lieu of granting leave to appeal, vacated in part this panel’s decision in Coalition Protecting Auto No-Fault v Mich Catastrophic Claims Ass’n, 305 Mich App 301; 852 NW2d 229 (2014). The Supreme Court vacated that portion of this Court’s opinion “holding that MCL 500.134(4) does not violate art 4, § 25 of the Michigan Constitution.” Coalition Protecting Auto No-Fault v Mich Catastrophic Claims Ass’n, 498 Mich 896 (2015). The Court remanded the matter to this Court for “reconsideration of this issue,” and further directed this Court, on remand, “to decide the issue whether the [Michigan Catastrophic Claims Association (MCCA)] is a ‘public body’ subject to the Freedom of Information Act [FOIA], MCL 15.231 et seq., under MCL 15.232(d).” Id. Specifically, our Supreme Court instructed this Court on remand to

[c]ompare MCL 15.232(d)(iv) (a “public body” includes “[a]ny other body which is created by state or local authority”) and League Gen Ins Co v Mich Catastrophic Claims Ass’n, 435 Mich 338, 351; 458 NW2d 632 (1990) (holding that the MCCA is not a “state agency” but a “private association”); see also 1988 PA 349, § 2 (providing “legislative intent” pertaining to the status of the MCCA). The Court of Appeals shall then reconsider whether MCL 500.134(4) violates art 4, § 25 in light of its resolution of that issue, [Zd.]

[5]*5Our Supreme Court denied leave to appeal in all other respects. Id. For the reasons set forth in this opinion, we hold that the MCCA is a public body for purposes of FOIA, that the enactment of MCL 500.134(4) did not violate Const 1963, art 4, § 25, and that the MCCA’s records are exempt from disclosure under MCL 500.134(4) and (6)(c).

I. BACKGROUND

As discussed in this Court’s prior opinion, the appeal in this matter arose from the request of plaintiffs—the Coalition Protecting Auto No-Fault (CPAN), the Brain Injury Association of Michigan, Inc. (BIAMI), and several individual plaintiffs—to inspect certain records of defendant, the MCCA, under FOIA.

Explaining the origins of the MCCA, this Court noted:

The MCCA was created by the Legislature to protect no-fault automobile insurers from catastrophic losses arising from their obligation to pay or reimburse no-fault policyholders’ lifetime medical expenses. [League Gen Ins, 435 Mich at 340-341.] As a precondition to writing no-fault insurance in Michigan, every insurer must be a member of the MCCA. MCL 500.3104(1). Member insurers are required to pay annual premiums to the MCCA, MCL 500.3104(7), and in turn, the MCCA indemnifies its members for their “ultimate loss sustained under personal protection insurance coverage in excess [of a fixed statutory amount,]” MCL 500.3104(2). [Coalition Protecting Auto No-Fault, 305 Mich App at 304 (second alteration in original).]

The factual underpinnings of this appeal began in 2011 with CPAN initiating a FOIA request, asking the MCCA for “information concerning ‘all’ open and closed claims ‘serviced by’ the MCCA.” Id. Included within the information requested by CPAN were “the ages of [6]*6claimants, the dates of injuries, when claims were closed, and the total amounts paid.” Id. The MCCA declined CPAN’s request, asserting that it was “ ’expressly exempted from FOIA requests’ by MCL 500.134,” specifically citing MCL 500.134(4) and (6)(c). Id. at 304-305.

Shortly thereafter, CPAN initiated a lawsuit against the MCCA, seeking to compel the disclosure of the previously requested and denied information. Concurrently, BIAMI and the named individual plaintiffs filed a separate lawsuit against the MCCA after the MCCA denied a request for information similar to that of CPAN. The cases were consolidated pursuant to a stipulation by the parties, and CPAN was permitted to file an amended complaint. Id. at 305.

Although CPAN alleged four counts in its complaint, for purposes of this remand we need only address CPAN’s assertion that MCL 500.134 “violated Const 1963, art 4, § 25, because the statute amended FOIA by exempting the MCCA from FOIA without reenacting and republishing FOIA.” Coalition Protecting Auto No-Fault, 305 Mich App at 305. The MCCA filed a motion for summary disposition pursuant to MCR 2.116(C)(8) and (10). CPAN filed a cross-motion for summary disposition under MCR 2.116(I)(2).1 The trial court granted partial summary disposition in favor of CPAN, BIAMI, and the individual plaintiffs under MCR 2.116(C)(8), denying the motions “to the extent they sought disclosure of information concerning individual claimants.” Coalition Protecting Auto No-Fault, [7]*7305 Mich App at 306. The trial court denied the MCCA’s motion for summary disposition. Specifically, the trial court held

that the MCCA was a “public body” for purposes of FOIA because the MCCA was “created entirely by statute.” The court concluded that MCL 500.134 did not exempt the MCCA’s records from FOIA, stating:
MCL 500.134 does not contain any specific references regarding information exempt from disclosure.
Secondly, the plain language of section (4)... does not indicate that the legislature intended for a “whole sale” carve out exemption of all MCCA records because there is a general cross reference to MCL 15.243 (A record of an association or facility shall be exempted from disclosure pursuant to section 13 of the freedom of information act. ...[).] The fact that the Legislature used the phrase “pursuant to section 13” of FOIA, rather than specifically indicating that all MCCA records are exempt under 15.243(d)... tends to show that the Legislature intended for information to be exempt from FOIA only if such information came within one of the specified exemptions in MCL 15.243. [Id. at 306-307.]

The trial court also found that the MCCA’s records were subject to disclosure pursuant to alternate theories raised by CPAN and BIAMI, which we need not address in this opinion given the specificity of our Supreme Court’s remand order. Coalition Protecting Auto No-Fault, 498 Mich at 896.

On March 8, 2013, this Court granted the MCCA’s application for leave to appeal and request for a stay of proceedings.2 CPAN, BIAMI, and the individual plaintiffs also filed a cross-appeal.

[8]*8On May 20, 2014, this Court issued an opinion that reversed the ruling of the trial court and remanded “for entry of an order awarding summary disposition in favor of the MCCA.” Coalition Protecting Auto No-Fault, 305 Mich App at 304. In reversing the trial court, this Court assumed that the MCCA “is a public body for purposes of FOIA” and held that “the MCCA is not required to disclose any of its records because the records are expressly exempted from FOIA [by MCL 500.134(4) and (6)(c)].” Id. at 309. Citing MCL 15.243(1)(d), this Court noted that FOIA “lists various types of records and information that a public body may exempt from the act’s disclosure requirements.” Id. In addition, as part of the Insurance Code, MCL 500.100 et seq., MCL 500.134 “specifically describes and exempts the MCCA’s records from FOIA disclosure.” Id. at 309. In reversing the trial court’s ruling, this Court explained:

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Cite This Page — Counsel Stack

Bluebook (online)
894 N.W.2d 758, 317 Mich. App. 1, Counsel Stack Legal Research, https://law.counselstack.com/opinion/coalition-protecting-auto-no-fault-v-michigan-catastrophic-claims-assn-michctapp-2016.