July 2022

An informative e-newsletter for the Real Property Law Section of the State Bar of Michigan.

Supreme Court Clarifies UCPA Appeal Rights in Consumers Energy Co. v. Storm

By Matthew Ackerman

On May 10, the Michigan Supreme Court ruled that a condemning agency may appeal as of right a trial court’s determination that the agency’s acquisition fails to satisfy the requirement of public necessity.

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Confusion Remains Over Definition of “Residential” in the Michigan Construction Lien Act

By Marcus Sanborn, Blevins Sanborn Jezdimir Zack PLC

The Michigan Construction Lien Act, MCL 570.1101, et seq. (the “Act”) permits an unpaid contractor to place a lien on the property and to foreclose if the lien is not satisfied. This drastic remedy is tempered by a series of requirements a contractor must satisfy to perfect a lien. These requirements differ depending on whether the project is residential or commercial in nature. Complicating matters, the definitions of “residential” structures contained in the Act and the Michigan Occupational Code (the “Code”) conflict. This has caused unsuspecting contractors on major commercial projects with even minor residential components unable to file a lien, or even proceed with a contract action for an unpaid balance, unless they were licensed residential builders.

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Legislative Report

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Note to Committee Members:
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Write an Article

Interested in writing an article for the e-Newsletter? Contact co-editors Samuel Kilberg at SKilberg@dykema.com or Glen Zatz at gzatz@bodmanlaw.com.

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We are also looking for suggested authors and topics for the Michigan Real Property Review. Please contact Chair-Elect, Mike Luberto at mluberto@Chircotitle.com for suggested topics and ideas.

The views and opinions expressed in these articles are those of the authors, and they do not reflect in any way the positions of the State Bar of Michigan or the Real Property Law Section. These columns are meant for informational purposes only and should not be construed as legal advice. IRS Circular 230 Disclosure: To ensure compliance with requirements imposed by the Internal Revenue Service, we inform you that any U.S. federal tax advice contained in this communication (including any attachments) was not intended or written to be used, and cannot be used, by any person for the purpose of (i) avoiding tax-related penalties or (ii) promoting, marketing, or recommending to another person any transaction or matter addressed in this communication.