Michigan Basic Property Insurance v. Michigan Mutual Insurance

John Desgrange was employed by Thomas Coaches as an autobody repairman. Employees were allowed to work on their own cars at the garage after hours or during lunch hours. On April 8, 1980, Desgrange brought his 1977 Pontiac Trans Am to the garage to replace a rusting exhaust system. Instead of replacing the factory exhaust system with a standard replacement exhaust system, Desgrange intended to put on "headers”.

To remove the old manifold, Desgrange had to use a cutting torch to remove a stripped bolt. Sparks from the torch ignited a bucket of waste paint thinner and motor oil. As Desgrange…