Earlier this month, a Michigan appellate court issued a written opinion in a case involving a woman who was struck by a vehicle that was insured by State Farm in which the alleged damages were just $25,000, but the actual damages were far greater. In the case, Hodge v. State Farm Mutual Automobile Insurance Company, the court determined that the plaintiff proved damages far greater than the $25,000 jurisdictional limit of the court where the case was filed.
The Facts of the Case
The plaintiff was struck by a car that was insured by State Farm. The plaintiff filed a lawsuit against State Farm, seeking compensation for her injuries. She filed the lawsuit in District Court, which has a jurisdictional limit of just $25,000. This means that the court cannot hear cases that seek damages in excess of $25,000.
In her pleadings, the plaintiff sought damages of just $25,000. However, she presented evidence indicating that the actual damages incurred were closer to $150,000. State Farm asked the court to prevent the plaintiff from introducing any evidence that would show her damages were greater than $25,000, since that is all that she would be able to recover in the court in which she filed the case.