Michigan Basic Property Ins. Ass'n v. Detroit Edison Co.

I. NATURE OF THE CASE

Defendant’s customer, Van Dyke Liquor Market, suffered property damage due to a fire caused by an electrical power surge. Plaintiffs, Michigan Basic Property Insurance Association and Lloyd’s of London, the insurance carriers for Van Dyke Liquor Market, paid their insured for its loss. Plaintiffs then filed this subrogation action against defendant to recover for the property damage. Plaintiffs alleged that defendant’s negligent handling of power transmission equipment caused the fire.

In the trial court, defendant asserted the defense of primary jurisdiction and argued…