|
 |
Donald R. Huff,
Chairman
Eugene S. Fleming, Vice Chairman
Jack Demming, Member
Michael A. Roper, Managing Director
Robert M. Tholl, Office Manager |
|
|
|
Liability
These days everyone is touched by liability concerns. We all pay extra
for every product we buy to cover liability costs. Your Road Commission
is not exempt from our legal system. Millions of potential road dollars
are instead spend each year on defense of cases or awards of others. The
Otsego County Road Commission has saved a lot of money by joining other
Road Commissions in a pool and become self-insured. I am not trained in
law and will not go into much detail trying to explain a complicated
system but would like to share what I know about liability and the Road
Commission.
Years ago governmental agencies were exempt from being sued. Then it was
realized that governmental agencies make mistakes too and they should be
held accountable for these errors. All of a sudden we were in the soup
too. Then some laws came along in Michigan involving joint and several
liability, contribution, and comparative negligence. These laws say that
when someone suffers a loss or injury and other negligent parties are
found liable each negligent party pays according to a percent of
liability determined by the courts. It sounds like the right way to go,
however, in practice it is not so good. Example: A drunk driver runs off
a curve and kills a passenger. The passenger's family sues the driver
and the Road Commission because the curve was not marked properly. The
jury awards one million to the deceased's family and determines the
driver is 95% at fault and the Road Commission is 5% at fault. The
driver only has $40,000 in liability insurance and so the Road
Commission is forced to pay $960,000 because we have a million in
coverage. The State or county was pulled into every lawsuit imaginable
because of their "Deep Pockets". Who suffers? The public,
because this is money that could have been used to upgrade roads. The
legislatures have tried to limit this over exposure and has helped some
in recent years.
Property damage is another area of concern. If you apply for a permit to
put some structure, like a sign, in the right-of-way you must assume the
responsibility for any damage to that sign. If it is damaged by snow
thrown off our plows, etc. you must pay for the repairs. If we damage
something off the right-of-way, like your garage door, we will pay to
repair it. If a stone comes off our sander or is kicked up from the road
and breaks your windshield, under the no fault laws of Michigan, each
driver covers his own losses. If we cause some damage through neglect,
then we will be liable. However working in the roadway is a necessary
part of our job and most minor vehicle damage is not done by neglect.
Each problem has its own circumstances so it is always best to come in
and fill out an accident report form and we will turn it to our
insurance people.
|
[