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Motor Vehicle Litigation / April 13, 2018

Bronson and Spectrum affirm post-Covenant holdings that providers have no standing to pursue direct causes of action under the No-Fault Act alone. Similarly, providers lack standing to pursue any post-judgment statutory no-fault attorney fees. Unfortunately, like many post-Covenant decisions, the Court in Bronson and Spectrum appear to have left the door open. However, as the cases confirm, and according to MCL 500.3143, any agreement to assign a “right to benefits payable in the future is void.” Considering an award of no-fault attorney fees is a post-judgment (future) award, assigning this ability to recover should be prohibited. Plus, no-fault attorney fees are not traditionally considered a past or present “benefit” under the No-Fault Act.

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