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Anti-Assignment: Court of Appeals Rules on the Enforceability of Anti-Assignment Clauses in No-Fault Settlement Agreements

Motor Vehicle Litigation / November 23, 2020

In Michigan Ambulatory Surgical Center v Farm Bureau General Insurance Company of Michigan, published opinion of the Court of Appeals, issued November 19, 2020 (Docket No. 349706), the Michigan Court of Appeals held that anti-assignment clauses contained in settlement agreements between no-fault carriers and their insureds are not necessarily invalid as contrary to Michigan law or public policy. Because this is a published decision, it will be binding upon lower courts, and may be relied upon to uphold the enforceability of similar contractual language in no‑fault settlement agreements.

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