Court Opinion

ID: 9719394
Source: CourtListenerOpinion
Date Created: 2023-08-26 07:50:45.706899+00
Date Added: 2024-06-11T18:24:06.811072
License: Public Domain

Kelly, J.
(dissenting). I respectfully dissent.
. The majority decides that although the defendant had the authority to waive sovereign immunity in 1969, and effectively did so for all insurance contracts entered into until the issuance of the June 14, 1994, letter from Michael B. Jannis, General Deputy Assis*571taut Secretary of the Department of Housing and Urban Development (hud), quoted in footnote 2 of the majority opinion, it then terminates the valid waiver by operation of law, deciding that MCL 125.696; MSA 5.3056 “no longer authorized defendant to continue to waive the immunity defense.” But, the memorandum relied on is permissive, not mandatory.
The memorandum states that hud will no longer require PHA-owned insurance to attach a governmental immunity waiver. The memorandum does nothing to elevate the defendant’s duty to prohibit the insurance carrier from claiming governmental immunity. The memorandum does not address or vitiate any part of the 1969 annual contributions contract (ACC) that we are told remained in effect at least throughout the events that are the subject of this law suit. Defendant took no action to take advantage of the permission extended it in the final paragraph. Plaintiff has submitted a letter dated May 21, 1996, over the signature of Joann L. Adams, Acting Director of the office of public housing of hud, that states that none of the four housing commissions of Jackson, Lansing, Albion, and Battle Creek, “have signed the revised consolidated annual contributions contract form, HUD-53012a, dated July, 1995.” This was the provision that permitted the modification allowing assertion of governmental immunity.
I believe, therefore, the 1969 acc remained in effect and, if the defendant had authority to waive governmental immunity, the authority continued unabated notwithstanding the permissive hud policy change announced in the June 14, 1994, letter of the hud assistant secretary.
I would reverse.