The Michigan Court of Appeals recently clarified that non-resident vehicle owners who maintain out-of-state registration and insurance may still recover tort damages in Michigan, even if they drive in the state for more than 30 days per year. In Goings v. Giacomantonio-Snow, the court held that the statutory bar on tort recovery in MCL 500.3135(2)(c) applies only to violations of the resident insurance requirement under MCL 500.3101(1), and does not extend to nonresidents who violate the 30-day rule under MCL 500.3102(1).

The Goings Decision

John Goings, Sr. was rear-ended by defendant Bobbie Jean Giacomantonio-Snow while driving in Michigan. Goings’ vehicle was registered and insured in Ohio, even though evidence suggested he worked regularly in Michigan and spent significant time in the state, including more than 30 days in the calendar year.

When Plaintiff filed suit for negligent driving and sought non-economic damages, Defendant moved for summary disposition, arguing that Goings could not recover tort damages because he violated MCL 500.3102(1) by operating his vehicle in Michigan for more than 30 days without maintaining Michigan no-fault insurance. The trial court agreed and granted summary disposition, concluding that regardless of Goings’s residency status, his violation of the 30-day rule barred his tort claim.

The Court of Appeals reversed, holding that the plain language of MCL 500.3135(2)(c) bars tort recovery only when a plaintiff violates MCL 500.3101(1). MCL 500.3101 requires Michigan residents to maintain no-fault insurance on vehicles registered in Michigan. The court emphasized that the Legislature specifically referenced only section 3101(1) in the damages bar provision and chose not to reference section 3102(1), which requires nonresidents to obtain Michigan insurance after driving in the state for more than 30 days in a calendar year.

The Court of Appeals held that a genuine issue of material fact existed as to whether the plaintiff was actually a Michigan resident at the time of the accident, which would determine whether he was required to register his vehicle in Michigan and maintain Michigan insurance under section 3101(1), and remanded for further proceedings.

Key Takeaways

The Goings decision establishes critical limitations on when defendants can bar tort recovery based on a plaintiff’s insurance status. Most significantly, the decision confirms that non-resident plaintiffs who maintain valid out-of-state registration and insurance may recover tort damages in Michigan even if they violated the 30-day rule by driving in Michigan for extended periods without obtaining Michigan no-fault coverage. This creates a disparity in which uninsured Michigan residents are barred from tort recovery under MCL 500.3135(2)(c), while non-residents who violate the 30-day requirement under MCL 500.3102(1) may still pursue such claims. Defense counsel should recognize that arguments about extended Michigan use by out-of-state drivers will not support summary disposition on tort claims unless the defendant can establish that the plaintiff was actually a Michigan resident required to maintain Michigan insurance under section 3101(1).

The decision also demonstrates that residency determinations under the no-fault act turn on factual questions about where a person maintains their “true, fixed, permanent home” (domicile) or any “place of abode or dwelling place, even if temporary” (residence). A person may have multiple residences but only one domicile, and whether a plaintiff qualifies as a Michigan resident for insurance purposes will often present a genuine issue of material fact precluding summary disposition.

Defense counsel facing claims by out-of-state plaintiffs should focus discovery on establishing Michigan residency through evidence of voter registration, tax filings, employment location, time spent in Michigan versus other states, location of family members, and stated intent regarding permanent home. Absent clear evidence of Michigan residency, the Goings decision suggests that non-resident plaintiffs with out-of-state insurance will be able to pursue tort claims regardless of how much time they spend driving in Michigan.