The Michigan Supreme Court’s changes to case evaluations, which went into effect on Jan. 1, allow litigants to avoid the case evaluation process by specifying another alternative dispute resolution (ADR) process and other changes.
Michigan circuit courts often required civil cases to go through a process called case evaluation. The procedure helped determine the monetary value of the case and identified matters which may have prevented the parties from settling.
After a hearing involving the details of the case, a panel of case evaluators deliberated and issued settlement amounts. If either party rejected the case evaluation amount, the Michigan Court rules permitted sanctions under certain circumstances. Sanctions typically involved the payment of attorney fees and costs incurred during the case evaluation hearing.
One of the biggest changes allows parties the option of avoiding the case evaluation process entirely by using another ADR approved by the court. If the parties have filed a discovery plan, the request for another ADR must identify the process, describe the process that will be used, and must be completed no later than 60 days after the close of discovery.
Although the option for a substitute ADR is available in some instances, case evaluations are still the default ADR process in circuit court civil cases. In addition, judges retain the authority to accept or reject the parties’ stipulation to waive case evaluations.
In addition, the Michigan Supreme Court amendments removed the rejecting party’s liability for costs. The reasons behind the change include:
Other major case evaluation changes include:
The litigation and disputes practice group attorneys at O’Reilly Rancilio are available to answer your questions regarding the changes to case evaluation process. For more information, please call 586-726-1000 or visit our website.
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