First of all, when you told this jackass "NO," he became a trespasser. Under Michigan law, you do not owe him any responsibility, except that you can not set up a booby trap. So if he did the bike on your property without permission, he is entitled to NADA, ZIP, NOTHING. In fact, technically, you could sue him for trespassing on your property. However, since a homeowner's insurance company provides you with a lawyer, along with paying any money to settle or otherwise resolve the claim, I would put your homeowner's company on notice. If he is threatening to sue as a way of trying to get money from you, that is extortion, and you can contact the police.
Answered on Dec 14th, 2015 at 4:03 PM