Gladych v. New Family Homes, Inc.
| Decision Date | 01 July 2003 |
| Docket Number | Docket No. 119948, Calendar No. 16. |
| Citation | 468 Mich. 594,664 N.W.2d 705 |
| Parties | Robert GLADYCH, Plaintiff-Appellee, v. NEW FAMILY HOMES, INC., Defendant-Appellant. |
| Court | Michigan Supreme Court |
Sommers, Schwartz, Silver & Schwartz, P.C. (by B.A. Tyler and Patrick Burkett) Southfield, MI, for the plaintiff-appellee.
Harvey Kruse, P.C. (by James Sukkar and Julie Nichols) Troy, MI, for the defendant-appellant.
This case concerns the proper interpretation of M.C.L. § 600.5856, which sets forth the requirements for tolling the statute of limitations. We hold that the unambiguous language of M.C.L. § 600.5805 and M.C.L. § 600.5856 provides that the mere filing of a complaint is insufficient to toll the statute of limitations. In order to toll the limitations period, one must also comply with the requirements of § 5856. In so holding, we overrule the erroneous interpretation of § 5856 in Buscaino v. Rhodes, 385 Mich. 474, 189 N.W.2d 202 (1971), overruled in part on other grounds by McDougall v. Schanz, 461 Mich. 15, 597 N.W.2d 148 (1999). The decision in Buscaino ignored the plain language of the statutes and, in so doing, impermissibly limited the operation of § 5856. Upon consideration of the effect our decision would have on the administration of justice, however, we find it appropriate to give our holding limited retroactive application. Therefore, this case will apply retroactively only to those cases in which this specific issue has been raised and preserved. In all other cases, this opinion will apply prospectively, effective September 1, 2003.
Plaintiff alleged that he was injured on January 23, 1996, while employed by defendant. Plaintiff filed his complaint on January 22, 1999, one day before the three-year limitations period expired. MCL 600.5805. Plaintiff made three unsuccessful attempts to serve defendant. On April 20, 1999, a second summons was issued because the original summons was due to expire. Plaintiff served defendant on May 4, 1999, within the life of the second summons.
Defendant moved for summary disposition, arguing that the statute of limitations barred plaintiff's claim because plaintiff did not serve defendant or place the summons with an officer for service before the limitations period expired, as required by M.C.L. § 600.5856. The circuit court granted defendant's motion, agreeing that plaintiff had not satisfied the requirements of § 5856 and that therefore the limitations period was not tolled.
On appeal, the Court of Appeals reversed:
Because plaintiff filed this action before the three-year limitations period expired, it was timely filed. Goniwicha v. Harkai, 393 Mich. 255, 224 N.W.2d 284... (1974); Buscaino[, supra ]. Because the limitations period had not expired before plaintiff filed suit, the tolling provisions of § 5856 were not implicated.[1]
Defendant moved for rehearing, arguing that Buscaino should be overruled. The Court denied defendant's motion.2
We granted defendant's application for leave to appeal, directing the parties "to include among the questions to be briefed whether Buscaino [, supra ], is consistent with the language of M.C.L. § 600.1901 and of MCR 2.101(B) to the effect that a civil action is commenced by filing a complaint with the court."3
This Court reviews de novo a trial court's decision to grant or deny a motion for summary disposition. Wickens v. Oakwood Healthcare Sys., 465 Mich. 53, 59, 631 N.W.2d 686 (2001). Questions of statutory interpretation are also reviewed de novo. Oade v. Jackson Nat'l Life Ins. Co., 465 Mich. 244, 250, 632 N.W.2d 126 (2001).
When interpreting statutes, our obligation is to discern and give effect to the Legislature's intent as expressed in the statutory language. DiBenedetto v. West Shore Hosp., 461 Mich. 394, 402, 605 N.W.2d 300 (2000). If the language is unambiguous, "we presume that the Legislature intended the meaning clearly expressed—no further judicial construction is required or permitted, and the statute must be enforced as written." Id. "Similarly, courts may not speculate about an unstated purpose where the unambiguous text plainly reflects the intent of the Legislature." Pohutski v. City of Allen Park, 465 Mich. 675, 683, 641 N.W.2d 219 (2002).
MCL 600.5805(1) provides:
A person shall not bring or maintain an action to recover damages for injuries to persons or property unless, after the claim first accrued to the plaintiff or to someone through whom the plaintiff claims, the action is commenced within the periods of time prescribed by this section.
MCL 600.1901 defines "commenced" as the filing of a complaint with the court. Focusing solely on the statutory language, § 5805 simply provides a threshold requirement before the filing of a complaint. In other words, § 5805 provides that one cannot commence an action unless the complaint is filed within the periods prescribed by that section.
Section 5805 does not provide, however, that the statute of limitations somehow becomes irrelevant once the complaint is filed. In fact, the plain language of the statute extends no further than the filing of the complaint. If, as concluded in Buscaino, supra at 481, the mere filing of a complaint under § 5805 rendered the statute of limitations irrelevant, the provisions of § 5856 that effectuate the tolling would be unnecessary. It is precisely because § 5805 pertains only to the filing of the complaint that one must then turn to § 5856 to determine the effect of the statute of limitations once the complaint has been filed. Applying § 5856 to all claims as required by the statutory language gives full effect to both the threshold requirement of § 5805 and the tolling requirements of § 5856.
Section 5856 provides that the statute of limitations is tolled only if (1) the complaint is filed and a copy of the summons and complaint are served on defendant, (2) jurisdiction is otherwise acquired over defendant, (3) the complaint is filed and a copy of the summons and complaint in good faith are placed in the hands of an officer for immediate service (but no longer than ninety days after the summons and complaint are received by the officer), or (4) if, during the applicable notice period under M.C.L. § 600.2912b, a claim would be barred by the statute of limitations, but only for the number of days equal to that in the applicable notice period after notice is given in compliance with § 2912b.
In other words, if one does not perform any actions specified by § 5856, the statute of limitations is not tolled and therefore the period of limitations continues to run after the complaint has been filed. If the period of limitations somehow "stopped" at the filing of the complaint, as concluded in Buscaino, there would be no need to specify tolling requirements. Buscaino attempted to retain some meaning in § 5856 by limiting its application to situations in which a prior suit was not adjudicated on the merits, but nothing in the plain language of § 5856 indicates that the statute should be limited in such a manner. Rather, the statute provides, without exception, that "statutes of limitations or repose are tolled" when one of the four enumerated actions take place. It follows logically, then, that if one of the four enumerated actions does not occur, the statutes of limitations or repose are not tolled. Nothing in the statutory language permits limiting § 5856 to actions in which a prior suit was not adjudicated on the merits.
The inherent flaw in the Buscaino analysis lies in the fact that Buscaino was not concerned with the plain language of the statute. Rather, the Court in Buscaino, operating under the erroneous belief that statutes of limitations were merely "procedural" in nature, was concerned with avoiding an apparent conflict between GCR 1963, 101, which provided that "[a] civil action is commenced by filing a complaint with the court" and the requirements of § 5856. Buscaino, supra at 480-481, 189 N.W.2d 202. In order to avoid a conflict between the court rule and the statute, the Court adopted a strained, limited interpretation of § 5856.
This Court has since clarified the distinction between statutes regarding matters of "practice and procedure" and those regarding substantive law in McDougall, supra. If the statute concerns a matter that is purely procedural and pertains only to the administration of the courts, the court rule would control. Id. at 26-27, 597 N.W.2d 148. If, however, the statute concerns a "`principle of public policy, having as its basis something other than court administration ... the [court] rule should yield.'" Id. at 31, 597 N.W.2d 148, quoting Joiner & Miller, Rules of practice and procedure: A study of judicial rule making, 55 Mich. L. R. 623, 635 (1957).
Statutes regarding periods of limitations are substantive in nature. In Nielsen v. Barnett, 440 Mich. 1, 8-9, 485 N.W.2d 666 (1992), this Court noted the various policies underlying statutes of limitations:
By enacting a statute of limitations, the Legislature determines the reasonable period of time given to a plaintiff to pursue a claim. The policy reasons behind statutes of limitations include: the prompt recovery of damages, penalizing plaintiffs who are not industrious in pursuing claims, security against stale demands, relieving defendants' fear of litigation, prevention of fraudulent claims, and a remedy for general inconveniences resulting from delay.... [Citations omitted.]
Therefore, after McDougall, it is clear that, to the extent § 5856 enacts additional requirements regarding the tolling of the statute of limitations, the statute would supersede the court rule. There is no reason to continue to adhere to Buscaino `s tortured reading of § 5856 that contradicts the statute's plain and unambiguous language.
Further, it should be noted that although the Court in Buscaino relied in part on the...
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