18. Restitution, Waiver, Fraud

MESC v Westphal – 18.13

MESC v Westphal
Digest no. 18.13

Section 62(a)

Cite as: MESC v Westphal, 214 Mich App 261 (1995).

Appeal pending: No
Claimants: Larry A. Westphal & Steve G. Bussell
Employer: Mueller Brass Co.
Docket no.: B92-21862-122898W
Date of decision: November 14, 1995

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HOLDING: Where the Agency has issued a determination requiring restitution within three years of the date of a claimant’s receipt of improperly paid benefits, the Agency must file a civil suit to recover those benefits within three years of the date of the determination requiring restitution.

FACTS: Claimant Westphal received benefits through April 27, 1985. On January 29, 1986, the Agency determined those benefits were improperly paid. The claimant did not protest. The Agency filed its civil action for restitution on May 9, 1991. Because the Agency filed its claim more than three years after the date of the determination requiring restitution, the circuit court granted Westphal’s motion for summary disposition. Claimant Bussell’s experience was similar.

DECISION: The Agency could not recover restitution.

RATIONALE: The statute unambiguously states that the limitation period for the recovery of improperly paid unemployment benefits is three years from the date of receipt of benefits unless one of three exceptions exists. See Section 62(a). The third enumerated exception applied here since in each instance the MESC made formal determinations requiring restitution within three years of the claimant’s receipt of benefits. In Section 62(a), the “last antecedent” before the three qualifying exceptions is the date of accrual of the cause of action. Accordingly, the qualifying exceptions refer solely to the date of accrual and leave the three year limitations period intact.

Digest Author: Board of Review (original digest here)
Digest Updated: