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Frank A. Douglass Insurance Agency

Group Suing State’s Unemployment Insurance System

Michigan’s unemployment insurance system is being sued by a group of Michigan citizens who charge that the current computer system that decides cases involving fraud within the insurance program, is unconstitutional.

They say the “robo-adjudication” system, lacks any human oversight because it “regularly accuses people who have filed for unemployment benefits of fraud” because of routine discrepancies in the Agency’s information.

The Sugar Law Center of Detroit, which is representing the plaintiffs, says many unemployed people have been accused of fraud and assessed “onerous financial penalties,” even though “they did absolutely nothing wrong.”

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