Michigan House Bill HB5200

Michigan 2023-2024 Regular Session

• Introduced: 10/24/23
• Refer: 10/24/23

Caption

Consumer protection: other; procedures relating to investigative demands; establish. Amends sec. 15 of 1976 PA 331 (MCL 445.915) & adds sec. 8a.

Impact

If enacted, HB5200 would significantly alter the investigative landscape for consumer protection law in Michigan. It allows for the Attorney General or prosecuting attorneys to compel individuals to provide testimony, answer written interrogatories, and produce documents relevant to investigations. This represents a shift towards more proactive enforcement, aiming to prevent violations by allowing the authorities to gather necessary evidence before proceeding with formal actions. Additionally, the bill includes provisions for civil penalties of up to $10,000 for non-compliance, which adds a layer of deterrence against evasion of investigative requirements.

Summary

House Bill 5200 proposes amendments to the Michigan Consumer Protection Act by introducing Section 8a, which establishes new procedures for investigative demands. This amendment empowers the Attorney General or a prosecuting attorney to issue demands for individuals or entities believed to possess relevant information or materials in relation to investigations into violations of the act. The bill aims to streamline the enforcement mechanisms available to the state, thereby enhancing the effectiveness of consumer protection efforts across Michigan.

Contention

While proponents of HB5200 argue that these measures are essential for fortifying consumer protections and enhancing the state's ability to act against violators, there may be concerns regarding the implications for privacy and the potential for overreach by the government. Critics might assert that the powers granted could lead to coercion or misuse, especially given the broad scope of the demands that can be made. Thus, while the intent is to strengthen consumer rights, discussions about the balance between enforcement and individual rights are likely to arise as the bill progresses.