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Attention: Important Warning on Detroit bankruptcy for personal injury & accident victims

If you’re an auto accident victim with a claim against  the City of Detroit, you must complete these 3 steps now to protect your legal rights

Detroit accident claim

If you have a past or present auto accident claim with the City of Detroit, either for Michigan No-Fault (PIP) benefits or a current or future claim for pain and suffering, such as if  you were involved in a car accident with a City of Detroit bus or police car, you must do the following to preserve your legal rights.

This advice applies to anyone who has an auto accident claim with the City of Detroit. If you have any questions or need help with completing these steps, please call us at (800) 777-0028 and we would be happy to help.

1. File a Proof of Claim form with the Bankruptcy Court or the appropriate addressee specified by the Bankruptcy Court.

This must be done within 90 days of the bankruptcy being approved.  The Bankruptcy Court will issue an order with exact deadlines.  You can find the Proof of Claim form here.

If you do not have access to a computer or printer, please call us at Michigan Auto Law and we will mail you a form.  Please note:

  • The proper Court is: the United States Bankruptcy Court “Eastern District of Michigan.”
  • The Debtor is: “City of Detroit.”
  • The Case Number is: “13-53846.”

2. If the City of Detroit is responsible for your Michigan No-Fault (PIP) benefits, you must immediately file an Application for Benefits with the Michigan Assigned Claims Plan (MACP).

This is to see if they will place your claim with another insurer, even if it’s more than one year after the date of the motor vehicle accident.

You should add a cover letter that states that you are filing the Application due to the insolvency/bankruptcy of the City of Detroit.

You should have already filed an Application for Benefits with the City of Detroit and if not, should do so immediately.  ***This is especially important if your accident is less than one year old, as your claim may be forever barred if not filed in writing if not filed with the City of Detroit or the MACP within that time.

Here’s the Michigan Assigned Claims Plan Application for Benefits.

You can find the City of Detroit No-Fault (PIP) Application package here.

If you do not have access to a computer or printer, please call Michigan Auto Law and we will mail you either form or both.

3.  Consult with a bankruptcy attorney.

Under the Detroit bankruptcy, any and all current and future actions (lawsuits) are stayed (stopped).  In order to resume your current action or file a new action against the City of Detroit, in any court, you must receive permission from the Bankruptcy Court to lift the automatic stay.  Therefore, we must advise you to immediately consult with a bankruptcy attorney of your choice.

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