Storie v. Southfield Leasing, Inc

282 N.W.2d 417, 90 Mich. App. 612, 1979 Mich. App. LEXIS 2197
CourtMichigan Court of Appeals
DecidedJune 6, 1979
DocketDocket 77-3955
StatusPublished
Cited by17 cases

This text of 282 N.W.2d 417 (Storie v. Southfield Leasing, Inc) 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
Storie v. Southfield Leasing, Inc, 282 N.W.2d 417, 90 Mich. App. 612, 1979 Mich. App. LEXIS 2197 (Mich. Ct. App. 1979).

Opinions

Cynar, P. J.

In pertinent part, the undisputed facts in this case are as follows:

On January 17, 1974, plaintiffs decedent, Charles E. Storie, was a passenger in a small-engine airplane, piloted by Milton Lebow, when that plane crashed near Akron, Ohio, killing both occupants.

[617]*617Lebow was the president of Lebow Associates, Inc., a Michigan corporation with its principal place of business in Troy. The purpose of the flight was to service accounts for Lebow Associates in the Cleveland-Akron area. Decedent was employed by the company as a sales manager at the time of his death and resided in Oakland County, Michigan.

The aircraft in question was owned and registered at the time of the crash by defendant South-field Leasing, Inc. (hereinafter referred to as defendant), which had leased the plane to Lebow Associates for Lebow’s use pursuant to a lease agreement on May 26, 1969.

On September 6, 1974, plaintiff filed a wrongful death action in Wayne County against defendant, which in turn instituted a third-party complaint against Lebow Associates pursuant to an indemnity provision of the aircraft lease. Following a transfer of venue to Oakland County, plaintiff stipulated that its only claim against defendant was under the Michigan aircraft ownership liability statute. MCL 259.180a(l); MSA 10.280(1).

Thereafter, defendant moved for summary judgment alleging that Federal legislation, specifically 49 USC 1404, preempted the area of a lessor’s liability for airplane collisions, thus rendering the Michigan statute inapplicable.

Third-party defendant, Lebow Associates, Inc., filed a brief in support of defendant’s motion urging that summary judgment was also proper for a second reason, that the doctrine of lex loci delicti required the application of Ohio law, under which the present action could not be maintained.

On September 15, 1977, the lower court granted defendant’s motion for summary judgment on this latter ground.

[618]*618Plaintiff now appeals as of right and argues that the doctrine of lex loci delicti had no application in the case at bar. Defendant has cross-appealed and argues that the lower court erred in refusing to grant the motion for summary judgment on the ground of Federal preemption.

Third-party defendant, Lebow Associates, is not a party to this appeal.

MCL 259.180a(l); MSA 10.280(1) provides as follows:

"The owner or operator or the person or organization responsible for the maintenance or use of an aircraft shall be liable for any injury occasioned by the negligent operation of the aircraft, whether the negligence consists of a violation of the provisions of the statutes of the state, or in the failure to observe ordinary care in the operation, as the rules of the common law require.”

The parties agree that Ohio lacks a similar statute, and, as it is not otherwise alleged by plaintiff, apparently further agree that Ohio common law would disallow such an action.

In choice of law cases, Michigan has traditionally followed the doctrine of lex loci delicti, which states that, in tort actions, the law governing the litigation is the law of the state where the tort occurred. Kaiser v North, 292 Mich 49; 289 NW 325 (1939). However, in Sweeney v Sweeney, 402 Mich 234, 240; 262 NW2d 625 (1978), the Court gave new life to a seldom applied exception to the rule of lex loci delicti, stating that "the foreign law will not be recognized if contrary to the public policy of the forum”. Therefore, the choice of law question posed by this case turns on whether applying Ohio law would violate the public policy of the State of Michigan.

We believe this issue is controlled by the Court’s [619]*619opinion in Branyan v Alpena Flying Service, Inc, 65 Mich App 1; 236 NW2d 739 (1975). In that case, the Court applied Michigan law to an action arising out of an airplane crash which occurred in Virginia. After noting that all the principals involved were residents of this state, the Court concluded that a Michigan statute providing for full recovery of damages should be applied, rather than a limitation on the amount of damages contained in a Virginia statute. In concluding that the Michigan statute embodied a public policy of the state, which would be violated by applying Virginia law, the Court stated:

"The public policy of a state is fixed by its constitution, its statutory law, and the decisions of its courts; and when the Legislature enacts a law within the limits of the constitution, the enactment insofar as it bears upon the matter of public policy is conclusive.”1 Branyan, supra, at 8.

We conclude that Branyan, supra, should be followed in the present case. As in Branyan, all the principals involved were Michigan residents. Both the lessor and lessee of the plane are Michigan corporations and the decedent was also a resident of this state. In this case, unlike Branyan, supra, the choice of law question does not merely determine the maximum recoverable amount. It is determinative of whether plaintiff can recover at all. If the statute considered in Branyan, supra, [620]*620which bears only upon the extent of recovery involves a public policy capable of overcoming the general rule of lex loci delicti, then the statute involved in the present case certainly expresses a similar policy.

Our conclusion to apply Michigan law is further buttressed by examining the apparent legislative purpose behind MCL 259.180a(l); MSA 10.280(1). The statute appears to be directed toward increasing the safety of aircraft flown within the state. This is evidenced by language in the same act, stating:

"It is hereby declared that the purpose of this act is to further the public interest and aeronautical progress by providing for the protection and promotion of safety in aeronautics * * *.” MCL 259.1; MSA 10.101.

To effectuate this purpose the Legislature chose to deviate from the common-law rule, see, Note: Lohr, Recent Decisions, 57 Mich L Rev 111 (1958), and impose liability upon the owner of an aircraft. No doubt, this was intended to encourage increased supervision over the maintenance of aircraft. We believe this purpose would be undermined by permitting owners of airplanes to escape liability on the basis of the mere fortuity that the injury did not occur within the boundaries of this state.

Having determined that the lex loci delicti rule should not be applied in this case, it is necessary to consider the argument raised in defendant’s cross-appeal. Defendant contends that MCL 259.180a(l); MSA 10.280(1) deals with an area of law that has been preempted by Federal legislation. Defendant also points to 49 USC 1404 which provides:

[621]

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Storie v. Southfield Leasing, Inc
282 N.W.2d 417 (Michigan Court of Appeals, 1979)

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Bluebook (online)
282 N.W.2d 417, 90 Mich. App. 612, 1979 Mich. App. LEXIS 2197, Counsel Stack Legal Research, https://law.counselstack.com/opinion/storie-v-southfield-leasing-inc-michctapp-1979.