LANSING, Mich. (Oct. 9, 2024) — Today, a slew of legislative packages bolstering consumer protection laws in Michigan were heard in the Senate Finance, Insurance, and Consumer Protection Committee. Bill sponsors Sens. Rosemary Bayer (D-West Bloomfield), Sam Singh (D-East Lansing), Jeremy Moss (D-Southfield), and Mary Cavanagh (D-Redford Twp.) testified alongside subject matter experts uplifting the need for their legislation that would safeguard Michigan consumers by holding businesses accountable for their deceitful and fraudulent practices.
Senate Bills 888–892, sponsored by Sen. Bayer, would enhance the protection of consumer information in Michigan. These bills would expand the definition of “personal data” to include health and biometric information, such as fingerprints and facial recognition. If a data breach has, or may have, occurred, this legislation would require that entities investigate and notify affected consumers as well as the Attorney General’s office if the number of affected consumers exceeds 100. And, if a consumer’s Social Security number or taxpayer ID is compromised, the company must provide affected consumers with free identify theft protection and mitigation services for two years.
“Like too many other Michiganders, I have been personally affected by data breaches in recent years, and I understand the worry, frustration, and headaches that come along with it. We can and must do better for our Michigan consumers,” said Sen. Bayer. “This legislation brings Michigan up to speed with 37 other states who require that entities notify the Attorney General when data breaches occur, enabling them to get ahead of the issue and better support affected consumers.”
Senate Bills 1021 and 1022, sponsored by Sen. Singh, also work to bolster consumer protections in Michigan by amending the Michigan Consumer Protection Act to no longer allow exemptions for fraudulent activity by licensed and regulated entities. On top of empowering the Attorney General to issue investigative demands, this bill package also creates a new fund to support enforcement and education efforts to assist residents and reduce scams. And, following consumer protection best practices, this legislation would create increased penalties for violations against elderly and vulnerable adults.
Introduced earlier this year by Sens. Moss and Cavanagh, Senate Bills 954-956 are designed to protect Michigan consumers from price gouging during emergencies, ensuring that the Attorney General has the tools to act against violators.
Senate Bill 954, sponsored by Sen. Moss, is designed to protect consumers from extreme pricing of hotels and other lodging during emergencies. Under this legislation, residents cannot be charged excessively high prices for rooms during or shortly after a state of emergency is declared.
Sen. Moss’ SB 955 extends similar protections to essential goods and services. This includes building materials, food, emergency supplies, and medical supplies. The bill ensures that during a crisis, essential items are accessible and affordable to those who need them.
“We must hold unscrupulous businesses accountable when they exploit vulnerable consumers by unfairly raising costs of goods and services. That’s why I’m joining my Democratic colleagues to strengthen Michigan’s price gouging law,” said Sen. Moss. “We need more effective tools for enforcement to prevent bad actors from gouging consumers. I’m determined to lead this effort to prevent unjustified rising costs for Michigan families.”
Finally, SB 956, sponsored by Sen. Cavanagh, safeguards consumers from excessive pricing on energy products and services during market disruptions. Whether it’s fuel or other energy-related services, this bill ensures that consumers aren’t overcharged when the market is unstable.
“Basic necessities like energy need to remain accessible and affordable for Michigan families at all times, but especially in extreme weather and other market disruptions,” said Sen. Cavanagh. “This legislation is a crucial step in preventing businesses from exploiting Michiganders for profit during times of emergency or instability, strengthening our commitment to consumer protection in every corner of our state.”
This legislation now awaits a vote from the committee before heading to the full chamber for consideration.