COA Opinion: Driver of stolen motorcycle may be entitled to PIP benefits because he did not unlawfully take the motorcycle
A friend gave permission to the plaintiff in Rambin v. Allstate Ins. Co., to drive a motorcycle, which the friend claimed he owned. Unbeknownst to the plaintiff, the friend had stolen the motorcycle. The plaintiff was injured in an accident while driving the motorcycle, and he sued for personal protection insurance benefits under the No-Fault Act. The trial court granted summary disposition to the insurance companies, and the plaintiff appealed. The Michigan Court of Appeals considered MCL 500.3113(a), which denies PIP benefits to a person who “was using a motor vehicle or motorcycle which he or she had taken unlawfully . . . .” The court concluded, in light of recent Michigan Supreme Court precedent, that this clause required the person to have actually taken the vehicle in violation of the Michigan Penal Code. Therefore, the plaintiff was not precluded from receiving benefits, because he did not take the motorcycle unlawfully. The court reversed the trial court’s grant of summary disposition, but noted that whether the plaintiff is entitled to PIP benefits, and if so, from whom, remained issues for the trial court to decide. Judge Krause concurred in the result, but dissented to note disagreement with the court’s lengthy analysis of prior case law, which she said is “unnecessary” and at best, “dicta.”









