Associated Builders & Contractors v. City of Lansing

Summary

The Michigan Supreme Court held that the city of Lansing had authority under the Michigan Constitution of 1963, article 7, § 22, to enact a prevailing-wage ordinance for contractors working on municipal construction contracts. The Court overruled Attorney General ex rel Lennane v Detroit, while holding that the Court of Appeals had erred by disregarding Lennane before it was expressly overruled. The Court vacated the Court of Appeals’ judgment, affirmed its result, and remanded the case.

Holdings

1. Under Const. 1963, art. 7, § 22, a city may enact an ordinance regulating the wages paid to third-party employees working on municipal construction contracts because the ordinance relates to the city's municipal concerns, property, and government, subject to the Constitution and law.
2. The Michigan Court of Appeals may not anticipatorily disregard a Michigan Supreme Court decision merely because it believes intervening legal developments have undermined the decision; lower courts remain bound unless the precedent has been clearly overruled or superseded.
3. Attorney General ex rel. Lennane v. Detroit, 225 Mich. 631; 196 N.W. 391 (1923), is overruled because its narrow conception of municipal authority is inconsistent with the 1963 Michigan Constitution.

Questions Presented

1. Whether Const. 1963, art. 7, § 22 authorized Lansing to enact an ordinance requiring prevailing wages for employees of contractors working on municipal construction contracts.
2. Whether the Michigan Court of Appeals could disregard or treat as superseded the Michigan Supreme Court's decision in Attorney General ex rel. Lennane v. Detroit based on intervening constitutional and legal developments.
3. Whether Attorney General ex rel. Lennane v. Detroit should be overruled in light of the 1963 Michigan Constitution.

Disposition

vacated