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Insurance - Defenses Of Liability Insurer Against Third Party Injured By Assured Under Statute Giving Injured Party Right Of Action Against Insurer - Constitutionality, Michigan Law Review
Insurance - Defenses Of Liability Insurer Against Third Party Injured By Assured Under Statute Giving Injured Party Right Of Action Against Insurer - Constitutionality, Michigan Law Review
Michigan Law Review
Plaintiff, having recovered a judgment against insured defendant for injuries sustained in an automobile accident, filed a supplemental bill against defendant's insurer to recover the 'insurance money. The statute granting plaintiff this right provides that whenever damage occurs for which the insured is responsible, the liability of the insurer "shall become absolute," and upon his obtaining a judgment against the assured, the injured person shall be entitled to have the insurance money applied to satisfy the judgment. The insurer defended on the ground that the insured violated a condition of the policy by failing to cooperate in the defense of …