reglab/statecodes huggingface dataset:
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.917 - Rules; Exemption; Variance; Area Not Considered Home for the Aged or Adult Foster Care Facility; Relationship Not Subject to Laws Between Landlord and Tenant.

554.917 Rules; exemption; variance; area not considered home for the aged or adult foster care facility; relationship not subject to laws between landlord and tenant.
Sec. 17.
(1) A continuing care community that is licensed in whole or part under article 17 of the public health code, 1978 PA 368, MCL 333.20101 to 333.22260, or the adult foster care facility licensing act, 1979 PA 218, MCL 400.701 to 400.737, is exempt from any rules promulgated under article 17 of the public health code, 1978 PA 368, MCL 333.20101 to 333.22260, or the adult foster care facility licensing act, 1979 PA 218, MCL 400.701 to 400.737, that would interfere with a resident's access to a common area, subject to the resident's need for care and supervision.
(2) A continuing care community may request a variance from the application of a rule promulgated under article 17 of the public health code, 1978 PA 368, MCL 333.20101 to 333.22260, or promulgated under the adult foster care facility licensing act, 1979 PA 218, MCL 400.701 to 400.737, and applicable to a home for the aged or adult foster care facility, respectively, that is part of the continuing care community. The department of human services shall grant the variance upon a finding of both of the following:
(a) That the rule unnecessarily segregates members of the continuing care community who reside in the home for the aged or adult foster care facility from other members of the continuing care community.
(b) That the variance will not result in a risk to human health or safety.
(3) An area where room and board together with personal care, protection and supervision, or supervised personal care are provided to a member is not a home for the aged as defined in section 20106 of the public health code, 1978 PA 368, MCL 333.20106, or an adult foster care facility as defined in section 3 of the adult foster care facility licensing act, 1979 PA 218, MCL 400.703, if the services are only provided on a temporary basis under any of the following circumstances:
(a) While the member is recovering from an illness or accident.
(b) Until a living unit in an appropriate licensed area of the continuing care community becomes available.
(4) The relationship between a continuing care community and a member or prospective member is not subject to laws regulating the relationship between a landlord and a current or prospective tenant.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.921 - Incomplete Application; Notification; Order Approving or Denying Registration.

554.921 Incomplete application; notification; order approving or denying registration.
Sec. 21.
(1) Effective 60 days after the department receives a registration application, the application shall be considered to be complete unless the department proceeds as provided in subsection (2).
(2) If, before the expiration of the 60-day period under subsection (1), the department notifies the applicant that the application is not complete, specifying the information necessary to make the application complete or stating that the fee required to accompany the application has not been paid and specifying the amount due, the running of the 60-day period under subsection (1) is tolled until the applicant submits to the department the specified information or fee amount due.
(3) Not more than 180 days after the expiration of the 60-day period under subsections (1) and (2), the department shall enter an order registering the continuing care community or denying the registration and submit a copy of the order to the applicant. An order approving a registration shall specify the expiration date of the registration. If the department denies registration, the order shall specifically describe the deficiencies in the registration application or instances of noncompliance by the applicant with the requirements of this act.
(4) If an order approving or denying registration is not timely entered under subsection (3), the registration is immediately effective unless the applicant has consented in writing to a waiver or delay of automatic effectiveness.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.923 - Effect of Order Approving or Filing Registration.

554.923 Effect of order approving or filing registration.
Sec. 23.
(1) The fact that an application for registration has been filed or approved does not constitute any of the following:
(a) Approval of or a finding regarding the accuracy of any information in or accompanying the registration application.
(b) A recommendation, approval, or other finding by the department concerning the merits or qualifications of a person, life interest, long-term lease, transaction, or continuing care community.
(2) A person shall not make or cause to be made to a prospective member a representation inconsistent with this section.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.925 - Renewal of Registration; Application Form to Be Sent by Department.

554.925 Renewal of registration; application form to be sent by department.
Sec. 25.
(1) Except as otherwise provided in this act, the department shall renew the registration of a registrant that does all of the following:
(a) On or before the expiration date printed on the registration, submits to the department an application for renewal of registration on a form provided by the department and accompanied by such information described in section 19 as may be required by the department.
(b) Pays the fee required under section 31.
(2) A reasonable time before a registrant's registration expires, the department shall send a renewal application form to the registrant's last postal mailing address or electronic address on file with the department. The failure of the department to comply with this subsection does not relieve the registrant of the responsibility to timely file an application for renewal of registration.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.927 - Application for Registration Renewal; Processing; Failure to Submit Application or Fee; Continuation of Current Registration; Failure to File Renewal Application.

554.927 Application for registration renewal; processing; failure to submit application or fee; continuation of current registration; failure to file renewal application.
Sec. 27.
(1) Subject to subsections (2) and (3), an application for renewal of registration shall be processed in the same manner as an initial registration application under section 21.
(2) If, within 60 days after receiving notice from the department under section 21(2), an applicant fails to submit to the department the specified information or fee amount due, the department may deny the registration renewal application.
(3) If an applicant files an application for renewal of registration as provided in section 25(1), the current registration continues in effect until a new registration renewal order is issued or denied or the department revokes the registration.
(4) If a registrant fails to file an application for renewal of registration as provided in section 25(1), both of the following apply:
(a) The registration lapses effective the day after the expiration date specified in the order under section 21.
(b) The continuing care community shall not enter or offer to enter a continuing care agreement after the expiration date unless the community is reregistered pursuant to sections 19 and 21.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.929 - Extension of Registration; Requirements; Fees.

554.929 Extension of registration; requirements; fees.
Sec. 29.
(1) The department may extend the term of an existing registration for a continuing care community for not more than 3 fiscal years if the department determines that all of the following requirements are met:
(a) The continuing care community was registered under this act during the immediately preceding 5 fiscal years.
(b) The continuing care community meets all of the following financial requirements:
(i) Has not committed a material default in the payment of principal or interest on its indebtedness during the immediately preceding 3 years.
(ii) Has had income or revenues in excess of its expenses in each of the immediately preceding 3 years.
(iii) Has a ratio of current assets to current liabilities of not less than 1:1.
(iv) Has reserves or funds designated for the payment of its indebtedness in an amount equal to or greater than 1 year's debt service.
(c) The continuing care community or any person with joint and several liability is not the subject of any action under sections 55 to 63.
(2) Notwithstanding the grant of an extension of its registration, a continuing care community shall annually submit to the department the registration renewal fees specified in section 31 and annual and semiannual financial statements under section 41. A registered continuing care community shall do all of the following:
(a) Submit the fees specified in section 31.
(b) Submit financial statements for that fiscal year that comply with section 41.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.931 - Fees; Continuing Care Administration Fund; Creation; Disposition; Investment; Money Remaining at Close of Fiscal Year; Expenditures.

554.931 Fees; continuing care administration fund; creation; disposition; investment; money remaining at close of fiscal year; expenditures.
Sec. 31.
(1) The fee for filing an application for initial registration of the offer or sale of continuing care agreements or continuing care at home agreements is $250.00. If an application for registration is withdrawn before the effective date of registration or a stop order is issued before that date, the department shall retain the following:
(a) A fee of $25.00 if the initial review has not been commenced.
(b) The full application fee if the review has commenced.
(2) The fee for filing an application for registration renewal is $100.00.
(3) The continuing care administration fund is created within the state treasury. Fees collected by the department under this act shall be deposited into the fund. The state treasurer may receive money or other assets from any source for deposit into the fund. The state treasurer shall direct the investment of the fund. The state treasurer shall credit to the fund interest and earnings from fund investments. Money in the fund at the close of the fiscal year shall remain in the fund and shall not lapse to the general fund. The department shall be the administrator of the fund for auditing purposes.
(4) The department shall expend money from the continuing care administration fund, upon appropriation, only for the purposes of administration and enforcement of this act.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.933 - Reportable Changes; Amendment of Registration.

554.933 Reportable changes; amendment of registration.
Sec. 33.
(1) A registrant shall notify the department promptly in writing within 45 days of any reportable change with respect to the continuing care community measured semiannually.
(2) A registrant shall submit to the department an application to amend a registration to address reportable changes. The disclosure statement and each form of continuing care agreement for the continuing care community, including all exhibits or addenda, shall be in a format that identifies revisions to the last documents approved by the department. If required by the department, the application to amend a registration shall include a pro forma financial plan that complies with section 43. The department may require the production of other financial information reasonably necessary for the purposes of this act. The amended registration shall be signed and verified by the administrator.
(3) Effective 30 days after the department receives an application to amend a registration, the application shall be considered to be complete unless the department proceeds as provided in subsection (4).
(4) If, before the expiration of the 30-day period under subsection (3), the department notifies the applicant that the application is not complete, specifying the information necessary to make the application complete, the running of the 30-day period under subsection (3) is tolled until the applicant submits to the department the specified information or fee amount due.
(5) Not more than 30 days after the expiration of the 30-day period under subsections (3) and (4), the department shall enter an order approving or denying the amendment and submit a copy of the order to the applicant. If the department denies the amendment, the order shall specifically describe the deficiencies in the application or instances of noncompliance by the applicant with the requirements of this act.
(6) If an order approving or denying an amendment is not timely entered under subsection (5), the amendment is immediately effective unless the applicant has consented in writing to a waiver or delay of automatic effectiveness.
(7) An amendment to an application filed after the effective date of the registration and approved by the department under subsection (5) takes effect on the date determined by the department, having due regard for the public interest and the protection of prospective members.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.935 - Delivery of Continuing Care Agreements, Emergency Plan, and Disclosure Statement; Availability of Feasibility Study.

554.935 Delivery of continuing care agreements, emergency plan, and disclosure statement; availability of feasibility study.
Sec. 35.
(1) A continuing care community shall deliver to a prospective member all continuing care agreements pertinent to the continuing care sought by the prospective member, the continuing care community emergency plan in case of power outage, and the disclosure statement most recently approved by the department. The delivery shall be by a method considered acceptable by the continuing care community and the prospective member and shall occur by the earlier of the following:
(a) The continuing care community's acceptance of a nonrefundable application fee from the prospective member, unless all of the following apply:
(i) The nonrefundable application fee does not exceed $500.00.
(ii) The availability of a disclosure statement is disclosed in writing to the prospective member.
(iii) A disclosure statement is made available to the prospective member upon request.
(b) The prospective member's payment of at least 10% of the total entrance fee to reserve a living unit.
(2) Upon execution of the continuing care agreement and payment of the full entrance fee amount, the continuing care community shall provide the member with a physical copy of both of the following:
(a) The executed continuing care agreement.
(b) A physical copy of the disclosure statement, unless a physical copy has already been provided under subsection (1).
(3) A continuing care community shall make the feasibility study required under section 19 available for review by a member or prospective member upon request.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.939 - Continuing Care Agreement; Requirements.

554.939 Continuing care agreement; requirements.
Sec. 39.
A continuing care agreement shall meet all of the following requirements:
(a) Specify in reasonable detail the rights, privileges, liabilities, and obligations of each party to the continuing care agreement with respect to the statements included in the disclosure statement under section 37(1)(h) to (cc).
(b) Specify whether a continuing care agreement may be terminated due to a material breach by either party and if so, what constitutes a material breach.
(c) Specify that the continuing care community may provide access to an adequate alternative facility that will provide care for the member, in place of or in mitigation of any damages.
(d) Specify that the continuing care community will not terminate a member without 30 days' written notice unless the continuing care community provides access to an adequate alternative facility.
(e) Each continuing care agreement shall be set forth in not less than 12-point type. The department may prescribe the format of a continuing care agreement or require a continuing care community to set forth in a continuing care agreement potential adverse information in designated positions and in a type size specified by the department.
(f) Specify that a continuing care agreement does not confer a property interest, an individual or partial ownership of a continuing care community, or voting rights in the operation of a continuing care community.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.943 - Financial Forecast.

554.943 Financial forecast.
Sec. 43.
A pro forma financial plan shall include a financial forecast for a period of 3 years, presented on the same accounting basis as the financial statements, including all of the following:
(a) A balance sheet.
(b) A statement of changes and activities or statement of operations.
(c) A statement of cash flow.
(d) Expected cash proceeds from sales of continuing care agreements based on projected occupancy and attrition rates.
(e) Expected cash proceeds from monthly service fees, donations, interest, and entrance fees.
(f) Amount of reserves expected to be provided for capital replacement, improvements, maintenance, refunds, and other expenses.
(g) A statement of assumptions and principles used to make the forecast.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.949 - Records; Reports.

554.949 Records; reports.
Sec. 49.
(1) A registered continuing care community shall prepare and maintain for not less than 6 years all of the following records:
(a) Accounts and records of each day's sales of memberships in the continuing care community, receipts of cash, and other debits and credits.
(b) Copies of contracts, including continuing care agreements and terminated continuing care agreements, management contracts for any material component of operations, contracts for construction of buildings or other structures used to provide continuing care, and contracts with affiliated persons related to any material component of operations.
(c) Records of compensation paid to persons, directly or indirectly, in connection with the offer or sale of continuing care agreements. These records shall include all the following information:
(i) The persons to whom payments are made.
(ii) The date and amount of each payment.
(iii) The reason for each payment.
(iv) The transaction from which each payment arose.
(d) Member records of all of the following:
(i) Each member's name, address, and age.
(ii) The total amount paid to date by each member and the dates on which the payments were made.
(iii) The aggregate amount to be paid by each member.
(iv) The terms of payment.
(e) Complaint records of all of the following:
(i) Each written complaint by a member alleging violations of this act or rules promulgated under this act.
(ii) The date of the complaint.
(iii) Any action taken by the continuing care community in response to the complaint.
(2) Not more than 30 days after the end of each fiscal year quarter, or such later date as may be authorized by the department, a registered continuing care community shall submit the following to the department, unless waived by the department:
(a) A quarterly sales report setting forth the continuing care community's sales executed by new members and the proceeds derived from the collection of entrance fees from such members.
(b) A quarterly occupancy report stating the percentage of occupancy of living units in a continuing care community, the number of occupants who have continuing care agreements, and the number of members who have died or moved out of the continuing care community since the last occupancy report was submitted.
(3) If required by the department in the reasonable exercise of its discretion, a registered continuing care community shall submit to the department a report that compares any increases in monthly service fees to the annual consumer price index - all urban consumers, over 5 preceding calendar years. This report shall be submitted no later than February 1 following the end of each 5-year period. The first 5-year period begins January 1 after the effective date of this act.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.951 - Advertising or Marketing Communication.

554.951 Advertising or marketing communication.
Sec. 51.
(1) A person shall not distribute or transmit an advertisement or marketing communication described in this subsection unless a true copy of the advertisement or marketing communication has been submitted to and approved by the department or unless an advertising waiver has been approved by the department. This subsection applies only to an advertising or marketing communication that contains any of the following information:
(a) An entrance fee.
(b) A monthly service fee.
(c) A disclosure statement.
(d) A continuing care agreement.
(2) The department shall approve or reject in writing any advertisement or marketing communication submitted under subsection (1) within 10 days after the date it is received.
(3) To obtain an advertising waiver, a continuing care community shall submit to the department a written request that includes the reasons why the waiver should be approved. The department shall grant or deny a waiver request in writing within 30 days after receipt. If the waiver is granted, the waiver shall specify its expiration date, if any.
(4) This act does not impose liability, civil or criminal, upon a person regularly engaged in the business of publishing a bona fide newspaper or operating a radio or television station, and acting solely in the person's official capacity, who publishes an advertisement or marketing communication in good faith and without knowledge that the advertisement or marketing communication constitutes a violation of this act.
(5) A continuing care community shall maintain advertising or marketing communications for not less than 3 years in physical copy or electronic format and make these records available to the department upon written request.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.955 - Offer or Sale of Continuing Care Agreement; Prohibited Acts.

554.955 Offer or sale of continuing care agreement; prohibited acts.
Sec. 55.
(1) A person shall not, in connection with the offer or sale of a continuing care agreement, directly or indirectly do any of the following:
(a) Employ a device, scheme, or artifice to defraud.
(b) Engage in an act, practice, or course of business which operates or would operate as a fraud or deceit.
(c) Make an untrue statement of a material fact or fail to state a material fact necessary in order to make the statements made not misleading, in the light of the circumstances under which they are made, including an untrue statement of a material fact or failure to state a material fact in any application, notice, or report filed with the department under this act.
(d) Fail to notify the department of a reportable change as required by section 33.
(e) Publish any advertisement or marketing communication that contains false, fraudulent, misleading, or deceptive information. This subdivision does not apply to a person that publishes an advertisement or marketing communication on behalf of a continuing care community and is not affiliated with the continuing care community.
(2) Each of the following practices constitutes a false, fraudulent, misleading, or deceptive advertising or marketing communication for purposes of subsection (1)(e):
(a) A statement or inference that the purchase of a membership in a continuing care community is a safe investment.
(b) A statement or inference that a continuing care community is affiliated with a religious, nonprofit, or proprietary organization if it is not so affiliated.
(c) A material misrepresentation of services, care, or amenities, provided or to be provided by a continuing care community.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.957 - Appointment of Independent Conservator or Guardian.

554.957 Appointment of independent conservator or guardian.
Sec. 57.
If a member becomes mentally or physically incapacitated and is unable to handle his or her own personal or financial affairs, the continuing care community may petition a court of competent jurisdiction to appoint an independent conservator or guardian. If the court approves the petition as well as the costs associated with the petition, the continuing care community may charge these costs to the member.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.959 - Arbitration.

554.959 Arbitration.
Sec. 59.
(1) A dispute, claim, or grievance arising between a member or a member's estate and a continuing care community shall upon written consent of the parties be submitted to arbitration. The arbitrator's decision is final and binding. The arbitration is subject to the rules of the American arbitration association in effect at the time of the dispute, claim, or grievance.
(2) A condition, stipulation, or provision purporting to bind a member to waive compliance with any provision of this act or a rule promulgated or order issued under this act is void.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.961 - Service of Process; Irrevocable Consent Appointing Department.

554.961 Service of process; irrevocable consent appointing department.
Sec. 61.
(1) An applicant for registration under this act, other than a domestic corporation, shall file with the department, on a form prescribed by the department, an irrevocable consent appointing the department to be its attorney to receive service of lawful process in a noncriminal action or proceeding against it or its successor, executor, or administrator that arises under this act or a rule promulgated or order issued under this act after the consent has been filed. After the filing of the consent, process received by the department has the same force and validity as if served personally on the person filing consent.
(2) Service under subsection (1) may be made by leaving a copy of the process in the office of the department but it is not effective unless all of the following requirements are met:
(a) The plaintiff, who may be the department in an action or proceeding instituted by it, immediately sends notice of the service and a copy of the process by certified mail to the defendant or respondent at its last address on file with the department.
(b) The plaintiff's affidavit of compliance with subdivision (a) is filed in the action, on or before the return day of the process, if any, or within such further time as the court may allow.
(3) When a person, including a nonresident of this state, engages in conduct prohibited or made actionable by this act or a rule promulgated or order issued under this act, whether or not a consent to service of process has been filed and personal jurisdiction can otherwise be obtained in this state, that conduct shall be considered equivalent to the appointment of the department to be the attorney to receive service of a lawful process in a civil action or proceeding against the person or a successor, executor, or administrator arising out of that conduct and which is brought under this act or a rule promulgated or order issued under this act, with the same force and validity as if served on the person personally.
(4) Service under subsection (3) may be made by leaving a copy of the process in the office of the department, but it is not effective unless all of the following requirements are met:
(a) The plaintiff, which may be the department in an action or proceeding instituted by it, immediately sends notice of the service and a copy of the process by certified mail to the defendant or respondent at its last known address or takes other steps that are reasonably calculated to give actual notice.
(b) The plaintiff's affidavit of compliance with this section is filed in the case on or before the return day of the process, if any, or within such further time as the court allows.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.963 - Investigations.

554.963 Investigations.
Sec. 63.
(1) The department may conduct investigations within or outside this state to determine if any of the following apply:
(a) An offering of a continuing care agreement under this act poses or may pose an unreasonable risk as described in subsection (3).
(b) A person has violated or is about to violate this act or a rule promulgated or order issued under this act.
(2) The department may require or permit a person to file a written statement under oath or otherwise as to all the facts and circumstances concerning the matter to be investigated under subsection (1). If the person fails to reply with all required information to a written request from the department within 15 days after receipt of the letter, the department may issue a cease and desist order.
(3) The department may determine that an offering creates an unreasonable risk to members under this act if any of the following apply:
(a) Monthly service fees or assessments are not used for the purpose designated.
(b) With respect to an offering by a continuing care community seeking registration or exemption, the offering fails to provide for adequate reserves or other adequate revenue sources for operations, repairs, and renovations. The department may utilize an industry representative or accounting representative to determine the adequacy of revenue sources.
(c) With respect to a continuing care community making an offering, the continuing care community has been in operation less than 1 year or is in the development stage at the time of registration and has failed to achieve reservations for 75% of the living units at the date of first occupancy, unless the department finds that the financial condition of the continuing care community or the escrow arrangements established in connection with the offering are such as to outweigh any special risk.
(4) For the purpose of an investigation or proceeding under this act, the department may administer oaths and affirmations and receive evidence. To subpoena witnesses or require the production of books, papers, or other documents or records, the department must obtain an order of the circuit court by a showing that there is good cause to believe that a violation has taken place or is about to take place. However, in a contested case, the department itself may issue subpoenas and is subject to section 73 of the administrative procedures act of 1969, 1969 PA 306, MCL 24.273.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.965 - Review and Audit of Documents and Records.

554.965 Review and audit of documents and records.
Sec. 65.
(1) The department shall review all documents submitted to the department under this act for compliance with this act. The department may require the submission of supplemental documents if the department considers the additional information necessary for the purposes of this act.
(2) The records of a continuing care community are subject to reasonable audit by a representative of the department, inside or outside of this state, that the department considers necessary or appropriate in the public interest and for the protection of members or prospective members. The department may copy records the department reasonably considers necessary to conduct the audit.
(3) A routine audit shall be conducted during normal business hours and with reasonable advance notice. An audit in response to a complaint or other special audit may be conducted at any time and without advance notice.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.967 - Repayment of Entrance Fee; Temporary Suspension.

554.967 Repayment of entrance fee; temporary suspension.
Sec. 67.
(1) A court or the department may by order authorize a registrant to suspend repayment of an entrance fee for not more than 180 days, upon a showing by the registrant that payment would jeopardize the care of members in the continuing care community. The order may be extended upon a showing of substantial progress in resolving the financial difficulties of the continuing care community.
(2) To obtain an order from the department allowing the temporary suspension of repayment of an entrance fee pursuant to subsection (1), a continuing care community shall submit to the department a letter requesting a temporary suspension order. The letter shall contain all of the following information:
(a) The name of the facility involved and its affiliates, if any.
(b) The particular facts relied upon as a basis for the suspension request.
(c) The time during which the facility desires the suspension to be effective.
(d) Financial statements dated not more than 45 days before the date of the request.
(e) Other information required by the department.
(3) The department may hold a public hearing to determine whether the suspension should be granted.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.971 - Cease and Desist Order.

554.971 Cease and desist order.
Sec. 71.
(1) Subject to subsection (2), if the department determines that a person has engaged, is engaging, or is about to engage in an act, practice, or course of business constituting a violation of this act or a rule promulgated or order issued under this act, or that a person has materially aided, is materially aiding, or is about to materially aid an act, practice, or course of business constituting such a violation, the department may issue an order directing the person to cease and desist from engaging in the act, practice, or course of business or to take other action necessary to comply with this act.
(2) Before issuing an order under subsection (1), the department shall notify the person. The notice shall include the proposed order, the reasons for the proposed order, and a statement that, if a hearing is requested in writing within 15 days after issuance of the notice of intent, a hearing will be conducted on the matter within 45 days after receipt of the request, unless the person consents to a later date. If a hearing is not timely requested, the department shall issue an order under subsection (1). If a hearing is timely requested, the department, after notice and an evidentiary hearing pursuant to the administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to 24.328, may enter a cease and desist order or find that a violation has not occurred.
(3) A person that knowingly authorizes, directs, or aids in violation of a final cease and desist order, or who knowingly fails to comply with the terms of a final cease and desist order, may be fined not more than $10,000.00.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.973 - Injunction, Restraining Order, or Writ of Mandamus.

554.973 Injunction, restraining order, or writ of mandamus.
Sec. 73.
If it appears to the department that a person has engaged or is about to engage in an act or practice constituting a violation of this act or a rule promulgated or order issued under this act, the attorney general may bring an action in the name of the people in the circuit court to enjoin the acts or practices or to enforce compliance with this act or the rule or order. Upon a proper showing, a preliminary or permanent injunction, restraining order, or writ of mandamus shall be granted and a receiver or conservator may be appointed for the defendant or the defendant's assets. The court shall not require the department to post a bond.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.975 - Civil Fine; Costs; Sanctions; Continuing Care Agreement as Voidable; Refund.

554.975 Civil fine; costs; sanctions; continuing care agreement as voidable; refund.
Sec. 75.
(1) If the director of the department finds that a person violated this act or a rule promulgated or order issued under this act, after an opportunity for an evidentiary hearing under the administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to 24.328, the director may order the person to pay a civil fine of not less than $1,000.00 or more than $50,000.00. The director may also order the respondent to pay the costs of the investigation.
(2) After providing an opportunity for a contested case hearing under the administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to 24.328, the department may impose any of the following sanctions on a person that violates this act or a rule promulgated or order issued under this act:
(a) If the person is registered under this act, an administrative fine of not more than $10,000.00 for each violation.
(b) A requirement that restitution be made. The registration of the person required to make the restitution may be suspended until the restitution is made.
(3) If a continuing care agreement does not comply with the requirements of this act, the continuing care agreement is voidable. If the agreement is voided, the continuing care community shall refund to the member the amount that the member paid when the continuing care agreement was entered into.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.977 - Liability; Offer of Rescission.

554.977 Liability; offer of rescission.
Sec. 77.
(1) A person that offers or sells a continuing care agreement in violation of section 15 or 55 or an order issued under section 69 is liable to the person executing the continuing care agreement for all of the following:
(a) Damages.
(b) Repayment of all fees paid to the continuing care community or entity purporting to operate as a continuing care community under this act less, in the case of a continuing care community, the reasonable cost of continuing care provided by the continuing care community until discovery or until the violation should reasonably have been discovered.
(c) 6% interest on the amounts under subdivisions (a) and (b).
(d) Reasonable attorney fees.
(e) Court costs.
(2) A person may not file or maintain an action under this section if, before filing the action, the person received an offer of rescission approved by the department to refund the entrance fee together with interest at 6% per year from the date of purchase less the reasonable cost of continuing care provided until discovery, and the member failed to accept the offer within 30 days after its receipt. When a continuing care community makes written offer of rescission, the continuing care community shall file a copy with the department. The rescission offer shall recite the provisions of this section.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.979 - Liability by Implication; Liability Under Other Statute or Common Law.

554.979 Liability by implication; liability under other statute or common law.
Sec. 79.
Except as explicitly provided in this act, civil liability in favor of a private party does not arise against a person by implication from or as a result of the violation of this act or a rule promulgated or order issued under this act. This act does not limit liability that may exist under any other statute or under common law.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.981 - Person Materially Aiding in Act or Transaction Constituting Violation; Joint and Several Liability.

554.981 Person materially aiding in act or transaction constituting violation; joint and several liability.
Sec. 81.
A person that directly controls a person that violates this act, a partner in a firm that violates this act, a principal executive officer or paid director or trustee of a corporation that violates this act, a person occupying a similar status as an executive officer or director performing similar functions, or an employee of a person that violates this act who materially aids in the act or transaction constituting the violation is also liable jointly and severally with and to the same extent as the person that violates this act, unless the person did not have knowledge of or reasonable grounds to believe in the existence of the facts constituting the violation.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.983 - Statute of Limitations.

554.983 Statute of limitations.
Sec. 83.
An action shall not be maintained to enforce a liability created under this act unless brought before the expiration of 3 years after the date of the act or transaction constituting the violation.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.985 - Violation as Felony; Penalty; Seizure and Forfeiture of Proceeds or Instrumentality of Crime.

554.985 Violation as felony; penalty; seizure and forfeiture of proceeds or instrumentality of crime.
Sec. 85.
(1) A person that knowingly violates this act is guilty of a felony punishable by imprisonment for not more than 7 years or a fine of not more than $10,000.00, or both.
(2) The proceeds, the substituted proceeds, or an instrumentality of a crime described in subsection (1) are subject to seizure and forfeiture in the manner provided in chapter 47 of the revised judicature act of 1961, 1961 PA 236, MCL 600.4701 to 600.4709.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.987 - Promulgation of Rules.

554.987 Promulgation of rules.
Sec. 87.
Pursuant to the administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to 24.328, the department may promulgate rules to implement this act.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.989 - Disclosure of Filings; Exemption; Confidentiality of Social Security Numbers.

554.989 Disclosure of filings; exemption; confidentiality of social security numbers.
Sec. 89.
(1) Applications, reports, and other papers and documents filed by applicants or registrants or experts or appraisers with the department under this act are subject to disclosure under the freedom of information act, 1976 PA 442, MCL 15.231 to 15.246. However, pro forma financial statements, marketing plans, feasibility studies, and social security numbers are exempt from disclosure. In addition, a continuing care community may request, and the department may grant, subject to section 13 of the freedom of information act, 1976 PA 442, MCL 15.243, confidentiality as to any other document received under this act.
(2) Subject to subsection (1) the department or its examiners, investigators, assistants, clerks, or deputies shall not disclose information filed with or obtained by them under this act except among themselves or when necessary or appropriate in a proceeding or investigation under this act or to other federal or state regulatory agencies. However, to aid in the enforcement of this act or in the prescribing of rules and forms under this act, the department may publish information concerning a violation of this act or a rule promulgated or order issued under this act.
(3) The department shall take reasonable steps to protect the confidentiality of social security numbers provided to the department under this act.
History:
2014, Act 448, Eff. Apr. 2, 2015
2023 Michigan Compiled Laws › Chapter 554 - Real and Personal Property › Act 448 of 2014 - Continuing Care Community Disclosure Act (554.901 - 554.993) › Section 554.991 - Life Interest or Long-Term Lease Agreement Under Former Act.

554.991 Life interest or long-term lease agreement under former act.
Sec. 91.
A life interest or long-term lease agreement entered into under the former 1976 PA 440 is not invalidated by the repeal of that act and the adoption of this act.
History:
2014, Act 448, Eff. Apr. 2, 2015