Michigan House Bill HB5254

Michigan 2025-2026 Regular Session

• Introduced: 11/12/25
• Refer: 11/12/25

Caption

Consumer credit: interest rates; maximum interest rate allowed for medical debt; modify. Amends sec. 3 of 1976 PA 331 (MCL 445.903). TIE BAR WITH: HB 5255'25

Impact

The proposed amendments to the Consumer Protection Act are intended to fortify consumer rights and promote fair trade. By explicitly outlawing various deceptive practices, the bill is poised to increase accountability among businesses operating within Michigan. This means that businesses will need to be more transparent in advertising and selling their products or services, potentially leading to enhanced consumer trust and safety. Furthermore, institutions such as the Attorney General's office will be empowered to implement regulations to ensure the law's efficacy.

Summary

House Bill 5254 seeks to amend the 1976 Michigan Consumer Protection Act. The bill enhances definitions and restrictions on unfair, unconscionable, or deceptive methods in trade or commerce. Among the practices deemed unlawful are misleading representations regarding the origin, approval, or sponsorship of goods and services. This amendment aims to establish clearer guidelines that protect consumers from exploitative business practices that could arise from ambiguity in the current law.

Contention

One of the notable points of contention arises from the extent of regulatory power granted to the Attorney General under this bill. While supporters argue that the bill is essential for consumer protection and fair business practices, critics raise concerns about the implications for businesses that may face increased scrutiny or unexpected liabilities under the expanded definitions of deceptive practices. Moreover, the tie-bar with House Bill 5255 may complicate the legislative process, potentially causing delays in both bills' enactments.