The Michigan Supreme Court in Marketplace of Rochester Hills Parcel B, LLC v. Comerica Bank, No. 151715, vacated parts of the Court of Appeals judgement that stated the same transaction test for compulsory joinder and res judicata is “if the same facts or evidence are essential to the maintenance of the two actions” and whether the two claims “concern identical evidence or essential facts.” The Court reasoned that the proper test is “whether the facts are related in time, space, origin or motivation, [and] whether they form a convenient trial unit . . . .” Additionally, the Court determined that when the appropriate test is applied, the Court of Appeals decision is correct. Therefore, in lieu of granting leave to appeal, the Court vacated the part of the opinion stating the improper same transactions test and denied leave to appeal in all other respects.
To read our previous post about the Court of Appeals decision, click here.
