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Supreme Court Overrules “Easily Ascertainable” Fraud Rule: Insurer May Assert Defense Of Fraud Even If It Was Easily Ascertainable And Claimant Is Innocent Third Party

Appellate, Motor Vehicle Litigation / June 20, 2012

In a decision issued June 15, 2012, the Michigan Supreme Court overruled over 30 years of cases which held that an insurance carrier could not assert fraud in the procurement of the policy as a defense to liability, when the fraud was “easily ascertainable” and the claimant was a third party….

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