Smith v. Sutherland

T. M. Burns, J.

Plaintiff brought this suit to recover for injuries sustained in an automobile accident on March 21, 1976. Defendants admitted liability and the question of whether the injuries sustained resulted in a "serious impairment of body function”, MCL 500.3135; MSA 24.13135, was submitted to a jury. A judgment of no cause of action was entered on the verdict returned and plaintiff appeals by right. We reverse.

The trial court instructed that plaintiff must demonstrate that her injuries resulted in a serious impairment of a body function before she could recover damages. But, in explaining the phrase the court indicated, "the term serious impairment has been interpreted as meaning an impairment of a body function of more than ordinary severity”. This instruction is erroneous and sufficiently misleading to require a new trial.1

There are no standard instructions for no-fault cases and no statutory definitions for the thresholds of retained liability in § 3135. The courts have been commanded to consider each factual situation *28on a case by case basis. See, Advisory Opinion re Constitutionality of 1972 PA 294, 389 Mich 441; 208 NW2d 469 (1973). In reviewing a trial court’s instructions, no reversible error has been found where the instructions given do not detract from the statutory standard or allow recovery in more limited situations than the statute itself. Stevens v Hogue, 85 Mich App 185; 270 NW2d 735 (1978).

The instruction above conflicts with the statutory standard. In the context in which it was used in this case, "more than ordinary severity” is not the same as "serious”. The statute requires only that the impairment be of a kind that is ordinarily serious, it need not be more than what is an ordinarily serious (or severe) injury. No one could doubt that injuries which rendered an individual a quadraplegic are injuries which result in a serious impairment of a body function. Under the trial court’s instruction, the quadraplegic plaintiff would be unable to recover for his injury unless he could establish that his condition was more severe than the ordinary serious type of injury which results in quadraplegia.

The court’s instruction increased the plaintiff’s burden and requires a new trial. We would refer the court to McKendrick v Petrucci, 71 Mich App 200; 247 NW2d 349 (1976), Cassidy v McGovern, 86 Mich App 321; 272 NW2d 644 (1978), and Stevens v Hogue, supra, for guidance in framing the instruction on a retrial.

Plaintiff raises a number of other issues, but only two require discussion. Plaintiff sued both the driver of the car which struck her and the owner of that car. Plaintiff argues that the nonoperatorowner’s liability was not affected by the enactment of the no-fault act. Under plaintiff’s theory, the liability of the nonoperator-owner is controlled by *29the civil liability act, MCL 257.401 et seq.; MSA 9.2101 et seq.2 Under this view, an injured individual would not need to show an injury resulting in death, serious impairment of a body function or permanent serious disfigurement to recover against a negligent driver of a motor vehicle, but a mere showing of negligence, based on the same incident, if suit were against the owner.

We cannot agree. MCL 500.3135; MSA 24.13135 provides, in relevant part:

"(1) A person remains subject to tort liability for noneconomic loss caused by his ownership, maintenance or use of a motor vehicle only if the injured person has suffered death, serious impairment of body function or permanent serious disfigurement.
"(2) Notwithstanding any other provision of law, tort liability arising from the ownership, maintenance or use within this state of a motor vehicle with respect to which the security required by subsections (3) and (4) of section 3101 was in effect is abolished except as to:
"(b) Damages for noneconomic loss as provided and limited in subsection (1).
"(c) Damages for allowable expenses, work loss and survivor’s loss as defined in sections 3107 to 3110 in excess of the daily, monthly and 3 year limitations contained in those sections.” (Emphasis added.)

From the language of the statute we can only conclude that the standard of liability is the same for drivers and owners. The civil liability act still provides a basis for imposing liability, where none would exist in the absence of the statute, Wieczo*30rek v Merskin, 308 Mich 145, 148; 13 NW2d 239 (1944), but the standard under which liability is imposed is furnished by § 3135 of the no-fault act. There was no error in instructing that the same standard of liability applied to both defendants.

Plaintiff argues that since defendants never introduced evidence that they were insured it was error to require a showing that defendant driver’s negligence caused injuries resulting in a serious impairment of a body function. As recently pointed out in Stevens v Hogue, supra, whether defendants were insured is a relevant inquiry. But, it is addressed to the court, not the jury. Defendants should have the opportunity to provide proof on this issue before the retrial ordered herein.

Since there is no indication on the present record that defendant owner’s car was insured, it is necessary to discuss the standard of liability as if the car were uninsured. There has been much confusion in regard to whether a different standard applies depending on the insured or uninsured status of the defendant. Several panels of this Court, by focusing on the language of § 3135(1) and the absence of any mention of insurance in that subsection, have concluded that a defendant’s lack of insurance is irrelevant — a plaintiff still must meet one of the thresholds before liability is imposed. See, e.g., McKendrick v Petrucci, supra, Cassidy v McGovern, supra and Schigur v West Bend Mutual Ins Co, 80 Mich App 640; 264 NW2d 83 (1978), lv gtd 402 Mich 950q (1978).

Without making a specific holding on the point, the Supreme Court seems to have read the statute as contemplating the opposite result. Shavers v Attorney General, 402 Mich 554, 624; 267 NW2d 72 (1978).

The confusion appears to stem from the orga*31nization of the statute, as set out above. The McKendrick panel and cases which have followed it treat subsection (1) as the operative subsection. However, it appears that subsection (2) actually controls this question. Subsection (2) abolishes tort liability only if the defendant is insured. One of the exceptions to this abolition of tort liability, set out in subsection (2)(c), is that provided and limited in subsection (1). Unless a defendant has brought himself within § 3135(2) by purchasing insurance, § 3135(1) would not apply. This is how the statute was construed by the Supreme Court in Shavers.

We hold, therefore, that an individual who has failed to obtain "security” as required by MCL 500.3101; MSA 24.13101 is not entitled to the protection of § 3135 and as to that individual, traditional tort liability is retained. If, in this case, the defendant owner’s car is found to have been uninsured, plaintiff need not meet the thresholds of § 3135(1) and would attempt to recover under traditional tort theory and procedure. See, Birkinsha, Insurance Law, 1975 Annual Survey of Michigan Law, 22 Wayne L Rev, 535, 539 (1976).

Plaintiff has raised a number of other issues. All have been considered. The evidentiary issues are without merit. The other issues need not be discussed in light of the holdings above.

Reversed and remanded. Costs to appellant.

N. J. Kaufman, P.J., concurred.

Below, plaintiff objected to the instruction as given and the refusal of the trial court to give a different instruction which she had requested. It is unnecessary to decide whether it was error to refuse to give plaintiffs requested instruction in exactly the terms proposed. We would note, however, that the court should have instructed that a serious impairment of a body function need not be permanent.

This statute provides in part: "The owner of a motor vehicle shall be liable for any injury occasioned by the negligent operation of such motor vehicle whether such negligence consists of a violation of the provisions of the statutes of the state or in the failure to observe such ordinary care in such operation as the rules of the common law requires.”