Five Stories that Matter in Michigan This Week – September 30, 2022

  1. House Bill Proposes to Establish a Version of the Telephone Consumer Protection Act in Michigan

The federal Telephone Consumer Protection Act seeks to stop unwanted telephone solicitation. Michigan House Bill 6307, the Michigan Telephone Solicitation Act (the “MTSA”), would enact similar restrictions on a state level.

Why it Matters: If enacted, Michigan would follow in the footsteps of other states, such as Florida, Oklahoma, and Washington, who have implemented similar protections for residents. The MTSA would exempt certain solicitation calls, such as those made with express authorization and those to existing customers. Violations, especially knowing violations and those impacting vulnerable individuals, would be subject to stiff civil penalties. The bill also proposes to establish a private cause of action for impacted individuals.

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  1. October 14 Deadline: Medicare Part D Notice of Creditable (or Non-Creditable) Coverage 

The Medicare Prescription Drug, Improvement, and Modernization Act of 2003 requires entities who offer prescription drug coverage to notify Medicare Part D eligible individuals whether their prescription coverage is creditable coverage. These notices of either creditable or non-creditable coverage are due for distribution prior to October 15 of each year.

Why it Matters: Failure to provide notice can result in a late enrollment penalty to those persons who go 63 days or longer without creditable coverage. Learn more here.

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  1. FDA Appoints Birenbaum as Senior Public Health Advisor on Cannabis Research and Regulatory Actions 

The U.S. Food and Drug Administration (the “FDA”) recently hired Norman Birenbaum, former cannabis program director for the state of New York, to serve as its senior public health advisor on cannabis research and regulatory actions.

Why it Matters: The appointment of Norman Birenbaum signals a turn for cannabis and cannabis-based products on the federal level. He brings experience in policy analysis as a founding president of a national cannabis regulatory association, and is anticipated to expand the FDA’s relationship with the healthcare community and patient advocate groups, as they look to gather more data on cannabis.

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  1. General Motors Co. Reverses Return to Office Plan Following Backlash 

Top executives from GM reportedly reversed course from last week’s reported plan to require salaried employees to return to company offices for at least three days a week, which would go into effect later this year.

Why it Matters: Following the outcry from employees who felt the plan was ushered in too quickly, executives have backed off the three-day in-office requirement this calendar year and instead continued to practice the “Work Appropriately” philosophy first adopted in 2020.

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  1. Michigan Car Insurance Rates Drop Nationally

With the introduction of new out-of-state car insurance companies into Michigan, the state has dropped from the nation’s top spot in cost of car insurance, to fourth. The 2019 auto insurance reform bill that passed is believed to be the major factor in reducing costs.

Why it Matters: Reduced costs for automobile owners is a positive sign for Michiganders. Elected officials are working towards providing consumers with a choice for their automobile insurance, which will help reduce costs for citizens.

Related Practice Groups and Professionals

Energy, Utilities & Telecommunication | Michael Ashton
Employee Benefits | Robert Burgee
Cannabis Law | Sean Gallagher
Labor, Employment & Civil Rights | Aaron Davis
Insurance Law | Emily Vanderlaan

Five Stories that Matter in Michigan This Week – September 2, 2022

  1. President Biden Announces Student Loan Forgiveness

On Wednesday, August 24, President Biden announced the federal government will extend the current pause on monthly student loan payments. President Biden also stated that the federal government plans to forgive up to $20,000 worth of student loan debt for those who qualify.

Why it Matters: President Biden is relying on the HEROES Act of 2003 [20USC 1098bb] to extend the pause on student payments as well as forgive certain amounts of student loans for qualifying individuals. There may be challenges to the President’s reliance on this statute to forgive student loan debt in the future. Learn more here from our attorney covering the news.

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  1. How Michigan Car Insurance Rates Stack Up Nationally

Following an influx of new car insurance companies into the state, Michigan has dropped from being the nation’s leader in cost of car insurance to fourth. The major effort in reducing costs is attributed to the 2019 auto insurance reform, which saw prices for automobile premiums drop considerably.

Why it Matters: Reduced costs for automobile owners is a positive sign for Michiganders. Elected officials are working towards providing consumers a choice for their automobile insurance, which in turn will reduce costs across the board.

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  1. Term Limits Will Be Prop 1 on November Ballot

It was recently announced that changes to Michigan’s term limits and financial disclosure requirements will be on November’s ballot as Prop 1. In 1992, Michigan voters voted in favor of a constitutional amendment for term limits. Since then, Michigan House members have been limited to three two-year terms and Michigan Senate members to two four-year terms— a maximum of 14 years between the two chambers.

Why it Matters: If Prop 1 passes, it would permit lawmakers to serve 12 years in Lansing, and all of that time could be spent in the House or Senate, or it could be divided between the two chambers. Additionally, elected officials would have to disclose their assets, income and liabilities, and their involvement in any businesses, nonprofits, labor organizations or educational institutions. Learn more here.

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  1. Voting Rights Proposal Fails to Make November Ballot

A voting rights proposal that would make changes to Michigan’s elections—including establishing early voting—failed to make this fall’s ballot. Michigan’s Board of State Canvassers deadlocked on whether to certify the Promote the Vote amendment for the ballot.

Why it Matters: The amendment would have increased absentee ballot access and preempted efforts to enact stricter voter ID rules for those casting ballots in person and for absentee voters. Promote the Vote indicated it would challenge the decision in court.

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  1. Michigan to Receive $50 Million from Federal Government for Historic 2020 Flooding

The Federal Highway Administration said Wednesday it will provide $50 million in emergency relief funds to Michigan to reimburse the state for repairs it made to roadways and bridges following severe flooding that took place in mid-Michigan in 2020.

Why it Matters: The money comes as part of a $513 million package the federal government is distributing across different states and territories. Only California and Puerto Rico will receive more than Michigan.


Related Practice Groups and Professionals

Insurance Defense | Emily Vanderlaan

Election Law | Garett Koger

Trusts & Estates | Elizabeth Siefker

$400 Car Insurance Refunds – Will the Estates of Your Deceased Relatives Miss Out?

If you had a vehicle insured at 11:59 p.m. on October 31, 2021, you are eligible to receive a $400 refund if the insurance met the minimum insurance requirements for operating a vehicle on Michigan roads.

This refund is part of 2019 bipartisan auto reform legislation that requires the Michigan Catastrophic Claims Association to issue refunds of $400 per eligible vehicle no later than May 8, 2022.

Many Michigan drivers have already received their refunds by check or automatic deposit from their insurer. However, recently deceased individuals with qualifying vehicles are also eligible. Insurance companies may have mailed checks to an invalid address or directly deposited funds into a closed checking account.

If you are the personal representative of a decedent’s estate, contact the decedent’s insurance company to ensure that the refund is mailed to the personal representative’s address or deposited to the estate’s bank account.

If you require assistance, the experienced probate attorneys at Fraser Trebilcock can provide the guidance you need. Please contact us.

This alert serves as a general summary and does not constitute legal advice. Please contact us with any specific questions.


Heidi L. Pierce is a paralegal at Fraser Trebilcock focusing on estate planning and trust administration. You can contact her at 517.377.0858, or at hpierce@fraserlawfirm.com.

The Importance of Insuring Your Teen Drivers

Teenage drivers in Michigan must be named on an automobile insurance policy covering the vehicle they will be driving. This means that once your teen has passed their road test and is legally licensed to drive, as the parent, you should notify your insurer before your teenager actually begins driving independently. Your insurance company can then add your teenager to your policy as a “named driver” for all of the vehicles that they will regularly be driving. This would also be a good time to confirm with your insurer whether any additional coverage should be added.

On a separate note, if the vehicle your teen will be driving is going to be purchased and titled in only your teen’s name, most insurance companies will require that a separate automobile no-fault insurance policy be purchased specifically for that vehicle. In instances such as these, only the teenage driver’s name will be listed on the insurance policy.

It may come as no surprise that adding your teen to your policy will likely increase your insurance rates significantly. In an attempt to combat this increased expense, some people may be tempted to withhold information from their insurance company regarding their teen drivers.

DO NOT DO THIS!

If a policy is purchased without full transparency and honesty, the insurance company can legally cancel your policy, even after an automobile accident has occurred. This could mean that you and your teen driver will lose out on your benefits, including your insurer not paying your medical bills and you losing the ability to bring a lawsuit against an at-fault driver. This is true even if your teenager is completely free of fault and/or was seriously injured in the accident!

By keeping your insurance company up to date with who will be driving your vehicles, you’ll ensure that you are not paying your insurance premiums for benefits you will be disqualified from receiving.

If you have any questions, please contact Emily or your Fraser Trebilcock attorney.


Emily M. Vanderlaan is a litigation associate at Fraser Trebilcock serving some of the largest and most sophisticated insurers in Michigan. From case evaluation, to settlement negotiations, to trial and appeal work, Emily has experience representing insurance companies in a wide range of cases in Michigan state courts. You can reach her at (517) 377.0882 or at evanderlaan@fraserlawfirm.com.

Till Death Do Us Part – But Do Not Drive My Car!

If you are married it is advised that you leave the title to the vehicle you drive solely in your name.  Quite often attorneys are asked to defend a husband and wife in a lawsuit over an automobile accident/lawsuit where the married couples’ joint assets are at risk.  This is because the husband and wife have placed both of their names on the title to a vehicle which is driven almost exclusively by only one of them.  When there is an accident involving personal injury or death both are sued as owners under Michigan’s Owner Liability Statute.  MCL 257.401 (1). The joint assets of the married couple would not be at risk in such a situation if the couple did not place both of their names on the title as owners.

Continue reading Till Death Do Us Part – But Do Not Drive My Car!