Starks v. Michigan Welding Specialists, Inc., Docket No. 130283.

Decision Date01 November 2006
Docket NumberDocket No. 130283.,COA No. 257127.
Citation722 N.W.2d 888,477 Mich. 922
PartiesCharles STARKS, Jr., Plaintiff-Appellant, v. MICHIGAN WELDING SPECIALISTS, INC., and August F. Pitonyak, Defendants-Appellees.
CourtMichigan Supreme Court

On October 11, 2006, the Court heard oral argument on the application for leave to appeal the November 29, 2005 judgment of the Court of Appeals. On order of the Court, the application is again considered. MCR 7.302(G)(1). In lieu of granting leave to appeal, we AFFIRM the judgment of the Court of Appeals. Where, as here, a successor corporation acquires the assets of a predecessor corporation and does not explicitly assume the liabilities of the predecessor, the traditional rule of corporate successor non-liability applies. See, Foster v. Cone-Blanchard Machine Co., 460 Mich. 696, 702, 597 N.W.2d 506 (1999). Because an exception designed to protect injured victims of defective products rests upon policy reasons not applicable to a judgment creditor, the Court declines to expand the exception to the traditional rule set forth in Turner v. Bituminous Casualty Co., 397 Mich. 406, 244 N.W.2d 873 (1976), to cases in which the plaintiff is a judgment creditor.

MARILYN J. KELLY, J., dissents and states as follows:

I would grant leave to appeal. The issue of whether the continuity of the enterprise doctrine recognized in Turner v. Bituminous Casualty Co., 397 Mich. 406, 244 N.W.2d 873 (1976), extends beyond products liability actions warrants further discussion and closer attention from this Court.

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8 cases
  • Wells v. THB Am., LLC (In re Clements Mfg. Liquidation Co.)
    • United States
    • U.S. Bankruptcy Court — Eastern District of Michigan
    • October 17, 2014
    ...not involve a products liability claim brought by an injured victim of a defective product, citing Starks v. Michigan Welding Specialists, Inc., 477 Mich. 922, 722 N.W.2d 888, 889 (2006). The Trustee disputes TENA's view of Michigan law. Having reviewed the cases cited by the parties and ot......
  • Wells v. THB Am., LLC (In re Clements Mfg. Liquidation Co.), Bankruptcy No. 09–65895–TJT.
    • United States
    • U.S. Bankruptcy Court — Eastern District of Michigan
    • October 17, 2014
    ...not involve a products liability claim brought by an injured victim of a defective product, citing Starks v. Michigan Welding Specialists, Inc., 477 Mich. 922, 722 N.W.2d 888, 889 (2006). The Trustee disputes TENA's view of Michigan law.Having reviewed the cases cited by the parties and oth......
  • Ryan Racing, LLC v. Gentilozzi
    • United States
    • U.S. District Court — Western District of Michigan
    • February 19, 2015
    ...on its contention that RSR Racing did not expressly assume the Ryan Racing liability, and, pursuant to Starks v. Michigan Welding Specialists, Inc., 722 N.W.2d 888, 889 (Mich. 2006), successor liability is no longer a viable cause of action for judgment creditors outside the area of product......
  • Commonwealth Land Title Ins. Co. v. Metro Title Corp.
    • United States
    • Court of Appeal of Michigan — District of US
    • May 3, 2016
    ...by similar public-policy concerns)."). See also Turner, 397 Mich. at 416 ("This is a products liability case first and foremost."). In fact, Starks could be interpreted as limiting the continuity of the enterprise doctrine to the products liability context. [Starks v. Mich. Welding Speciali......
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