Bill to Amend the Michigan Consumer Protection Act Reported With Recommendation from Committee

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Bill to Amend the Michigan Consumer Protection Act Reported With Recommendation from Committee

03-10-10

By: Nicole Dunn, MPLP Law Clerk

A bill sponsored by Rep. Robert Jones (D-Kalamazoo) that would broaden the scope of the Michigan Consumer Protection Act (MCPA) was reported with recommendation from the Judiciary Committee. The bill attempts to restore consumer protections that were eliminated in the 1999 Michigan Supreme Court decision, Smith v Globe, 460 Mich 446 (1999). Under Smith, at 462, the MCPA is inapplicable to “a transaction or conduct specifically authorized under laws administered by a regulatory board or officer acting under statutory authority of this state.” The bill would explicitly specify that such regulation would not exempt an entity from the requirements of the MCPA, giving consumers an avenue of recourse that has been eliminated for over ten years. See House Bill 4915.

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