Levinson v. Payson

M. J. Kelly, J.

(dissenting). When the Supreme Court peremptorily reversed this Court in Levinson v Payson, 40 Mich App 415; 198 NW2d 913 (1972), rev’d 388 Mich 792 (1972), it remanded the case to circuit court without a hint as to what the circuit court should do. The circuit court was probably uncertain, and justifiably so, as to the viability of Renfroe v Higgins Rack Coating & Mfg Co, Inc, 17 Mich App 259; 169 NW2d 326 (1969), which was relied on by this Court and the circuit court. That viability has recently been vindicated in Askew v Macomber, 398 Mich 212; 247 NW2d 288 (1976), as both the majority and minority in Askew quoted the Renfroe decision without deprecation of any kind. Further, Askew establishes that the issue of whether the Paysons in the present case *659are an employer for purposes of workmen’s compensation is an issue of law.

The record in this case establishes that a portion of the Paysons’ payment to Homemakers, Inc. was used by Homemakers to purchase the compensation coverage extending to plaintiffs employment. I would hold that, as a matter of law, the defendants assumed workmen’s compensation liability under MCLA 418.121; MSA 17.237(121) through the placing of the consideration in the hands of Homemakers, the labor broker, which did in fact purchase the workmen’s compensation insurance. Therefore, the defendants are protected from liability by the exclusive remedy provision of the Worker’s Disability Compensation Act, MCLA 418.131; MSA 17.237(131), and it is unnecessary to remand this case to the circuit court.

There is also a fundamental fairness issue involved here: Under a contrary holding the denouement would result in the workmen’s compensation carrier being subrogated to the rights of the labor broker to the extent of its lien for the compensation redemption settlement against the Paysons, the very persons who paid the premium for the coverage and protection involved. Such a result is offensive to reason.

I would affirm.