Young v. Moore

127 F. Supp. 265, 1954 U.S. Dist. LEXIS 2378
CourtDistrict Court, E.D. Michigan
DecidedDecember 29, 1954
Docket1407
StatusPublished
Cited by5 cases

This text of 127 F. Supp. 265 (Young v. Moore) is published on Counsel Stack Legal Research, covering District Court, E.D. Michigan primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Young v. Moore, 127 F. Supp. 265, 1954 U.S. Dist. LEXIS 2378 (E.D. Mich. 1954).

Opinion

PICARD, District Judge.

This action presents a question that has been debated by Michigan lawyers for sometime, to-wit, whether the non-claims sections of our Michigan Probate Code, §§ 27.3178(412), 27.3178(428), 27.3178(435), 27.3178(432), Comp.Laws 1948, §§ 708.2, 708.18, 708.25, 708.22, have the effect of changing the statutes of limitations as provided in the general law M.S.A. §§ 27.605 and 27.610, Comp. Laws 1948, §§ 609.13, 609.18, where one having an unliquidated claim, not presented for allowance before the estate was closed, seeks later to bring action under section 27.3178(432), supra which permits him to either present the claim to the hearing officers appointed by the Probate Court or to sue in one of Michigan’s other courts of proper jurisdiction.

*267 Findings of Fact.

The facts are not in dispute.

The husband of the individual defendant was in an accident December 9, 1952, with Young, the individual plaintiff. The insurance plaintiff, Young’s assignee, paid for damages to Young’s vehicle and Young personally claims injuries and other damages. Defendant Moore’s husband was killed and his estate probated but was duly closed after notice, July 17, 1953, a little over seven months after the accident. Neither plaintiff presented a claim to the Probate Court and suit was not brought to prove any claim until this action, May 27, 1954, ten months after the estate was closed. It does not appear whether defendant Moore was the only heir of her husband’s small estate. Plaintiffs do not ask to have the estate reopened undoubtedly because in Michigan the estate could be reopened only to cure some error or because of newly discovered assets, Michigan Probate Code, § 27.3178(307), Comp.Laws 1948, § 704.56, and which section specifically and particularly denies admission of tardy claims. There is no administratrix nor estate now existing and the individual defendant had nothing to do with the accident. No mistake, fraud, or deceit of any kind is alleged but plaintiffs not only desire to share in the proceeds of a public liability insurance carried by the husband on his automobile but also in the estate of the husband that has already been distributed to the wife.

Plaintiffs do allege that they were negotiating with deceased’s insurance company for a settlement but immediately after the estate was closed the decedent’s insurance company refused to negotiate any longer. This might possibly have been the foundation for fraud were it not for the fact that all proper notices were given as required by the code and the further fact that probation of defendant Moore’s husband’s estate was initiated, and the attorneys paid, by the Hartford Accident and Indemnity Company of Hartford, Connecticut which company at that time was the companion organization of plaintiff insurance company. ' '

Furthermore, the known claim' of plaintiff insurance company is the greater of the two plaintiffs so while plaintiffs in their brief emphasize the fact that defendant is in truth an “insurance company” it can be added that the main plaintiff is also an “insurance company.” The merits of who would prevail ini a damage suit was not discussed.

Conclusions of Law.

First, we dispose of plaintiff’s theory that regardless of what the Michigan law may be, limitation on claims or discharge of administration for nonresidents is not governed by state statutes but by federal law, based on an old decision that has not been directly reversed, to-wit, Hartman v. Fishbeck, C.C., 18 F. 291.

We cannot agree. The administration of decedent’s estate is purely statutory and is now governed by the law of Michigan in both State and Federal courts in accordance with what we believe was the revolution marked by Erie R. Co. v. Tompkins, 304 U.S. 64, 58 S.Ct. 817, 82 L.Ed. 1188 and more recently interpreted and clarified by Guaranty Trust Co. of N. Y. v. York, 326 U.S. 99, 65 S.Ct. 1464, 89 L.Ed. 2079. We hold it was the intent of the Erie decision that where federal jurisdiction is based solely on diversity of citizenship as here, the legal rules to be applied including the statute of limitations would be the same as if the suit had been tried in the courts of the state in which the federal court is sitting.

As was said in 1 Barron and Holtzoff, page 26:

“The best judicial craftsmanship must weigh the case and decide it in an effort to give effect to the rules and yet avoid a result that could not have resulted in the state court within the same federal jurisdiction.”

See also Knoop v. Anderson, D.C., 71 F.Supp. 832.

*268 Let us then analyze the purpose of the Michigan legislature in enacting the Michigan Probate Code.

Prior to 1939, by express statutory provision, claims not presented to the commissioners on claims (or to the Probate Court if no commissioners appointed) within the time limited by the court were forever barred. See C.L.1929, Sec. 15687, Coughlin v. Wineman, 260 Mich. 469, 245 N.W. 779; In re Estate of Jeffers, 272 Mich. 127, 261 N.W. 271; In re Thayer’s Estate, 210 Mich. 696, 177 N.W. 978. This is such a claim since all claims, with exceptions not here pertinent must be so presented under C.L.1929, Section 15685. See also In re Sullivan’s Estate, 165 Mich. 585, 131 N.W. 180; Patrick v. Howard, 47 Mich. 40, 10 N.W. 71; In re Chamberlain’s Estate, 298 Mich. 278, 299 N.W. 82.

But in 1939, the laws relating to the administration of estates were codified and certain changes made, among them a provision permitting establishment of claims in court of general jurisdiction was added, § 27.3178(432). See In re Chamberlain’s Estate, supra. At the same time the express provision in C.L. 1929, Sec. 15687 barring claims not presented within the limit was omitted. But under the new code the probate court is still required to fix a date for filing and hearing claims, M.S.A. § 27.-3178(412) and Section 27.3178(428) provides that a tardy claim may be filed if presented within eighteen months after original filing date for administration of the estate and before the estate is closed.

At this time we digress to direct attention to the fact that while the Probate Code attempts to limit presentation of claims to the period within which the estate is open and in some cases (if the estate is closed within a comparatively short time) might have the effect of shortening the statute of limitations, at the same time it is possible, and many times probable, that the statute of limitations may be even increased where, for example, no attempt to probate the estate has been made for one, two or several years after death of the deceased and still the unliquidated claim might be filed within eighteen months after the original filing date asking for probate and before the estate is closed. § 27.3178(428), supra.

We also direct attention to the fact that the Probate Code does have a provision protecting unliquidated claims such as in the case at bar. All claimant must do is to start suit and give notice to the probate court. Prom that moment on no part of the estate is distributed but is held pending result of the unliquidated claim action.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Untitled Case
W.D. Kentucky, 2026
Maxman v. Goldsmith
223 N.W.2d 113 (Michigan Court of Appeals, 1974)
Hinz v. Curzenski Estate
183 N.W.2d 220 (Michigan Supreme Court, 1971)
Hinz v. Curzenski Estate
169 N.W.2d 663 (Michigan Court of Appeals, 1969)
In Re Critchell Estate
105 N.W.2d 417 (Michigan Supreme Court, 1960)
Melvin v. Reading
78 N.W.2d 181 (Michigan Supreme Court, 1956)

Cite This Page — Counsel Stack

Bluebook (online)
127 F. Supp. 265, 1954 U.S. Dist. LEXIS 2378, Counsel Stack Legal Research, https://law.counselstack.com/opinion/young-v-moore-mied-1954.