HOUSE BILL No. 5170


     October 10, 2001, Introduced by Reps. Schermesser, DeRossett, Richardville, Lockwood, Ruth Johnson and Jamnick and referred to the Committee
on Commerce.


        A bill to amend 1961 PA 236, entitled

   "Revised judicature act of 1961,"

   by amending sections 4704, 5714, 5771, 5773, 5775, 5777, 5779,

   5781, 5783, and 5785 (MCL 600.4704, 600.5714, 600.5771, 600.5773,

   600.5775, 600.5777, 600.5779, 600.5781, 600.5783, and 600.5785),

   section 4704 as added by 1988 PA 104, section 5714 as amended by

   1990 PA 310, and sections 5771, 5773, 5775, 5777, 5779, 5781,

   5783, and 5785 as added by 1988 PA 336.

               THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 1
           Sec. 4704.  (1) Within 7 days after personal property is

 2
      seized or a lien notice is filed against real property under sec-

 3
      tion 4703, the seizing agency or, if the property is real proper-

 4
      ty, the attorney general, the prosecuting attorney, or the city

 5
      or township attorney shall give notice of the seizure of the




   02555'01 a                                               LTB                                   2

 1
      property and the intent to forfeit and dispose of the property

 2
      according to this chapter to each of the following persons:

 3
           (a) If charges have been filed against a person for a crime,

 4
      the person charged.

 5
           (b) Each person with a known ownership interest in the

 6
      property.

 7
           (c) Each mortgagee, person holding a security interest, or

 8
      person having a lien that appears on the certificate of title OR

 9
      CERTIFICATE OF OWNERSHIP or THAT is on file with the secretary of

10
      state or appropriate register of deeds, if the property is real

11
      property, a  mobile  MANUFACTURED home, A motor vehicle, A water-

12
      craft, or other personal property.

13
           (d) Each holder of a preferred ship mortgage of record in

14
      the appropriate public office  pursuant to  UNDER the FORMER ship

15
      mortgage act, 1920, chapter 250, 41 Stat. 1000,  46 U.S.C.

16
      App. 911, 921 to 927, 941, 951 to 954, 961, 971 to 975, and 981

17
      to 984,  if the property is a watercraft more than 28 feet long

18
      or a watercraft that has a capacity of 5 net tons or more.

19
           (e) Each person whose security interest is recorded with the

20
      appropriate public office  pursuant to  UNDER the FORMER federal

21
      aviation act of 1958, Public Law 85-726,  27 Stat. 731,  if the

22
      property is an aircraft, aircraft engine, or aircraft propeller,

23
      or a part of an aircraft, aircraft engine, or aircraft

24
      propeller.

25
           (f) Each person with a known security interest in the

26
      property.





   02555'01 a                                   3

 1
           (g) Each victim of the crime.

 2
           (2) The notice required under subsection (1) shall be a

 3
      written notice delivered to the person or sent to the person by

 4
      certified mail.  If the name and address of the person are not

 5
      reasonably ascertainable or delivery of the notice cannot reason-

 6
      ably be accomplished, the notice shall be published in a newspa-

 7
      per of general circulation in the county in which the personal

 8
      property was seized or the real property is located for 10 suc-

 9
      cessive publishing days.  Proof of written notice or publication

10
      shall be filed with the court having jurisdiction over the sei-

11
      zure or forfeiture.

12
           (3) If personal property was seized, the seizing agency

13
      shall immediately notify the prosecuting attorney for the county

14
      in which the property was seized or, if the attorney general is

15
      actively handling a case involving or relating to the property,

16
      the attorney general of the seizure of the property and the

17
      intent to forfeit and dispose of the property according to this

18
      chapter.

19
           Sec. 5714.  (1) A person entitled to premises may recover

20
      possession of the premises by summary proceedings in 1 OR MORE OF

21
      the following cases:

22
           (a)  When  IF a person holds over premises, after failing or

23
      refusing to pay rent due under the lease or agreement by which

24
      the person holds the premises within 7 days from the service of a

25
      written demand for possession for nonpayment of the rent due.

26
      For the purpose of this subdivision, rent due does not include





   02555'01 a                                   4

 1
       any  accelerated indebtedness by reason of a breach of the lease

 2
      under which the premises are held.

 3
           (b)  When  IF a person holds over premises for 7 days fol-

 4
      lowing service of a written demand for possession for termination

 5
      of the lease pursuant to a clause in the lease providing for ter-

 6
      mination because a tenant, a member of the tenant's household, or

 7
      other person under the tenant's control has unlawfully manufac-

 8
      tured, delivered, possessed with intent to deliver, or possessed

 9
      a controlled substance on the leased premises.  This subdivision

10
      applies only if a formal police report has been filed by the

11
      landlord alleging that the person has unlawfully manufactured,

12
      delivered, possessed with intent to deliver, or possessed a con-

13
      trolled substance on the leased premises.  For purposes of this

14
      subdivision, "controlled substance" means a substance or a coun-

15
      terfeit substance classified in schedule 1, 2, or 3  pursuant to

16
      UNDER sections 7211, 7212, 7213, 7214, 7215, and 7216 of  Act No.

17
      368 of the Public Acts of 1978, being sections 333.7211,

18
      333.7212, 333.7213, 333.7214, 333.7215, and 333.7216 of the

19
      Michigan Compiled Laws  THE PUBLIC HEALTH CODE, 1978 PA 368, MCL

20
      333.7211, 333.7212, 333.7213, 333.7214, 333.7215, AND 333.7216.

21
           (c)  When  IF a person holds over premises in 1 or more of

22
      the following circumstances:

23
           (i) After termination of the lease,  pursuant to  UNDER a

24
      power to terminate provided in the lease or implied by law.

25
           (ii) After the term for which the premises are demised to

26
      the person or to the person under whom he or she holds.





   02555'01 a                                   5

 1
           (iii) After the termination of the person's estate by a

 2
      notice to quit as provided by section 34 of  chapter 66 of the

 3
      Revised Statutes of 1846, as amended, being section 554.134 of

 4
      the Michigan Compiled Laws  1846 RS 66, MCL 554.134.

 5
           (d)  When  IF the person in possession willfully or negli-

 6
      gently causes a serious and continuing health hazard to exist on

 7
      the premises, or causes extensive and continuing physical injury

 8
      to the premises,  which  THAT was discovered or should reasonably

 9
      have been discovered by the party seeking possession not earlier

10
      than 90 days before the institution of proceedings under this

11
      chapter and  when  IF the person in possession neglects or

12
      refuses for 7 days after service of a demand for possession of

13
      the premises to deliver up possession of the premises or to sub-

14
      stantially restore or repair the premises.

15
           (e)  When  IF a person takes possession of premises by means

16
      of a forcible entry, holds possession of premises by force after

17
      a peaceable entry, or comes into possession of premises by tres-

18
      pass without color of title or other possessory interest.

19
           (f)  When  IF a person continues in possession of premises

20
      sold by virtue of a mortgage or execution, after the time limited

21
      by law for redemption of the premises.

22
           (g)  When  IF a person continues in possession of premises

23
      sold and conveyed by a personal representative under license from

24
      the probate court or under authority in the will.

25
           (2) A tenant or occupant of housing operated by a city, vil-

26
      lage, township, or other unit of local government, as provided in

27
       Act No. 18 of the Public Acts of the Extra Session of 1933, as



   02555'01 a                                   6

 1
      amended, being sections 125.651 to 125.709e of the Michigan

 2
      Compiled Laws  1933 (EX SESS) PA 18, MCL 125.651 TO 125.709C, is

 3
      not considered to be holding over under subsection (1)(b) or (c)

 4
      unless the tenancy or agreement has been terminated for just

 5
      cause, as provided by lawful rules of the local housing commis-

 6
      sion or by law.

 7
           (3) A tenant of a  mobile  MANUFACTURED home  park

 8
      COMMUNITY is not considered to be holding over under

 9
      subsection (1)(b) or (c) unless the tenancy or lease agreement is

10
      terminated for just cause  pursuant to  UNDER chapter 57a.

11
           Sec. 5771.  As used in this chapter:

12
           (a)  "Mobile  "MANUFACTURED home" means a  mobile

13
      MANUFACTURED home as defined in section 2 of the  mobile home

14
      MANUFACTURED HOUSING commission act,  Act No. 96 of the Public

15
      Acts of 1987, being section 125.2302 of the Michigan Compiled

16
      Laws  1987 PA 96, MCL 125.2302.

17
           (b)  "Mobile  "MANUFACTURED home  park  COMMUNITY" means
   a

18
       mobile  MANUFACTURED home  park  COMMUNITY as defined in

19
      section 2 of  Act No. 96 of the Public Acts of 1987  THE MANUFAC-

20
      TURED HOUSING COMMISSION ACT, 1987 PA 96, MCL 125.2302, but does

21
      not include a seasonal  mobile  MANUFACTURED home  park

22
      COMMUNITY as defined in section 2 of  Act No. 96 of the Public

23
      Acts of 1987  THE MANUFACTURED HOUSING COMMISSION ACT, 1987 PA

24
      96, MCL 125.2302.

25
           Sec. 5773.  (1) The district court has jurisdiction under

26
      this chapter over proceedings for termination of tenancies in

27
       mobile  MANUFACTURED home  parks  COMMUNITIES.



   02555'01 a                                   7

 1
           (2) Section 5706  shall govern  GOVERNS the venue of

 2
      proceedings under this chapter.

 3
           Sec. 5775.  (1) The tenancy of a tenant in a  mobile

 4
      MANUFACTURED home  park  COMMUNITY shall not be terminated unless

 5
      there is just cause for the termination.

 6
           (2) For the purpose of this chapter, "just cause" means 1 or

 7
      more of the following:

 8
           (a) Use of a  mobile  MANUFACTURED home site by the tenant

 9
      for an unlawful purpose.

10
           (b) Failure by the tenant to comply with a lease or agree-

11
      ment by which the tenant holds the premises or with a rule or

12
      regulation of the  mobile  MANUFACTURED home  park  COMMUNITY,

13
      adopted pursuant to the lease or agreement,  which  IF THE rule

14
      or regulation is reasonably related to  any  1 OR MORE of the

15
      following:

16
           (i) The health, safety, or welfare of the  mobile

17
      MANUFACTURED home  park  COMMUNITY, its employees, or tenants.

18
           (ii) The quiet enjoyment of the other tenants of the

19
       mobile  MANUFACTURED home  park  COMMUNITY.

20
           (iii) Maintaining the physical condition or appearance of

21
      the  mobile  MANUFACTURED home  park  COMMUNITY or the
    mobile

22
      MANUFACTURED homes located in the  mobile  MANUFACTURED home

23
       park  COMMUNITY to protect the value of the  mobile

24
      MANUFACTURED home  park  COMMUNITY or to maintain its aesthetic

25
      quality or appearance.

26
           (c) A violation by the tenant of rules promulgated by the

27
      Michigan department of  public health  ENVIRONMENTAL QUALITY



   02555'01 a                                   8

 1
      under section 6 of the  mobile home  MANUFACTURED HOUSING

 2
      commission act,  Act No. 96 of the Public Acts of 1987, being

 3
      section 125.2306 of the Michigan Compiled Laws  1987 PA 96, MCL

 4
      125.2306.

 5
           (d) Intentional physical injury by the tenant to the person-

 6
      nel or  other tenants  ANOTHER TENANT of the  mobile

 7
      MANUFACTURED home  park  COMMUNITY, or intentional physical

 8
      damage by the tenant to the property of the  mobile  MANUFACTURED

 9
      home  park  COMMUNITY or of its other tenants.

10
           (e) Failure of the tenant to comply with a local ordinance,

11
      state law, or governmental rule or regulation relating to

12
       mobile  MANUFACTURED homes.

13
           (f) Failure of the tenant to make timely payment of rent or

14
      other charges under the lease or rental agreement by which the

15
      tenant holds the premises on 3 or more occasions during  any  A

16
      12-month period, for which failure the owner or operator has

17
      served a written demand for possession for nonpayment of rent

18
       pursuant to  UNDER section 5714(1)(a) and the tenant has failed

19
      or refused to pay the rent or other charges within the time

20
      period stated in the written demand for possession.  The written

21
      demand for possession shall provide a notice to the tenant in

22
      substantially the following form:  "Notice:  Three or more late

23
      payments of rent during any 12-month period is just cause to

24
      evict you."  Nothing in this subdivision  shall prohibit

25
      PROHIBITS a tenant from asserting, and the court from consider-

26
      ing,  any  A meritorious  defenses  DEFENSE to late payment of

27
      rent or other charges.



   02555'01 a                                   9

 1
           (g) Conduct by the tenant  upon  ON the  mobile

 2
      MANUFACTURED home  park  COMMUNITY premises  which  THAT
   consti-

 3
      tutes a substantial annoyance to  other tenants  ANOTHER TENANT

 4
      or to the  mobile  MANUFACTURED home  park  COMMUNITY, after

 5
      notice and an opportunity to cure.

 6
           (h) Failure of the tenant to maintain the  mobile

 7
      MANUFACTURED home or  mobile  MANUFACTURED home site in a reason-

 8
      able condition consistent with aesthetics appropriate to the

 9
       park  MANUFACTURED HOME COMMUNITY.

10
           (i) Condemnation of the  mobile  MANUFACTURED home  park

11
      COMMUNITY.

12
           (j) Changes in the use or substantive nature of the  mobile

13
      MANUFACTURED home  park  COMMUNITY.

14
           (k) Public health and safety violations by the tenant.

15
           (3) This section does not prohibit a change of the rental

16
      payments or the terms or conditions of tenancy in a  mobile

17
      MANUFACTURED home  park  COMMUNITY following the termination or

18
      expiration of a written lease agreement for the  mobile

19
      MANUFACTURED home site.

20
           Sec. 5777.  Within 10 days of service of a demand for pos-

21
      session of premises for just cause, a tenant in a  mobile

22
      MANUFACTURED home  park shall have  COMMUNITY HAS the right to

23
      request, by certified or registered mail to the owner or operator

24
      of the  mobile  MANUFACTURED home  park  COMMUNITY at the
   address

25
      set forth in the demand, an in-person conference with the owner

26
      or operator of the  mobile  MANUFACTURED home  park  COMMUNITY
   or

27
      representative of the owner or operator.  If timely requested,



   02555'01 a                                  10

 1
      the conference shall be held at the  mobile  MANUFACTURED home

 2
       park  COMMUNITY and at a time and date established by the owner

 3
      or operator but not later than 20 days after the tenant's

 4
      request.  The tenant may be accompanied by counsel at the

 5
      conference.  Nothing in this section  shall affect  AFFECTS the

 6
      owner's or operator's right to commence summary proceedings pur-

 7
      suant to the demand for possession.

 8
           Sec. 5779.  In  every  AN action to terminate a tenancy in a

 9
       mobile  MANUFACTURED home  park  COMMUNITY for just cause,
   the

10
      tenant shall continue to pay all rent and other charges to the

11
      owner or operator when due following the demand for possession of

12
      the premises and during the pendency of the action, and the owner

13
      or operator may accept all  such  payments of rent and other

14
      charges without prejudice to the action to evict the tenant for

15
      just cause.  If  such  a payment is not timely paid, the owner or

16
      operator may proceed under section 5714(1)(a) without prejudice

17
      to the maintenance of the just cause termination action.

18
           Sec. 5781.  If a tenancy in a  mobile  MANUFACTURED home

19
       park  COMMUNITY is terminated for just cause, the tenant may

20
      sell his or her  mobile  MANUFACTURED home on-site, as provided

21
      in sections 28(1)(h) and 28a of the  mobile home  MANUFACTURED

22
      HOUSING commission act,  Act No. 96 of the Public Acts of 1987,

23
      being sections 125.2328 and 125.2328a of the Michigan Compiled

24
      Laws  1987 PA 96, MCL 125.2328 AND 125.2328A, subject to all of

25
      the following conditions:

26
           (a) The tenant shall sell or move the  mobile  MANUFACTURED

27
      home within 90 days after the date of the judgment of possession,



   02555'01 a                                  11

 1
      except that the time period shall be extended to 90 days after

 2
      the  mobile  MANUFACTURED home  park  COMMUNITY owner or
   operator

 3
      denies tenancy to a person making a bona fide offer to purchase

 4
      the  mobile  MANUFACTURED home within the 90-day period or any

 5
      proper extension of the time period under this subdivision.

 6
           (b) The tenant shall timely pay all rent and other charges

 7
      for the  mobile  MANUFACTURED home site during the 90-day period

 8
      or any proper extension of the time period under subdivision

 9
      (a).  Failure to timely pay all rent or other charges shall enti-

10
      tle the owner or operator to seek an immediate writ of

11
      restitution.  As used in this subdivision, "rent and other

12
      charges" does not include liquidated damages awarded under

13
      section 5785.

14
           (c) Upon the expiration of 10 days after the date of the

15
      judgment of possession, the owner or operator may disconnect all

16
       mobile  MANUFACTURED home  park-supplied  COMMUNITY-SUPPLIED

17
      utility services.

18
           (d) Within 10 days after the date of the judgment of posses-

19
      sion, the tenant shall provide the owner or operator with proof

20
      that the  mobile  MANUFACTURED home has been properly winterized

21
      by a licensed  mobile  MANUFACTURED home installer and 
   repairer

22
      SERVICER.  Failure to timely provide the proof of winterization

23
      shall entitle the owner or operator to seek an immediate writ of

24
      restitution.

25
           (e) The tenant shall continue to maintain the  mobile

26
      MANUFACTURED home and  mobile  MANUFACTURED home site in





   02555'01 a                                  12

 1
      accordance with the rules and regulations of the  mobile

 2
      MANUFACTURED home  park  COMMUNITY.

 3
           (f) The  mobile  MANUFACTURED home  park  COMMUNITY shall

 4
      provide the tenant with reasonable access to the  mobile

 5
      MANUFACTURED home and the  mobile  MANUFACTURED home site for the

 6
      purpose of maintaining the  mobile  MANUFACTURED home and

 7
       mobile  MANUFACTURED home site and selling the  mobile

 8
      MANUFACTURED home.

 9
           Sec. 5783.  Every judgment for possession resulting from an

10
      action to terminate a tenancy in a  mobile  MANUFACTURED home

11
       park  COMMUNITY for just cause shall set forth the right of a

12
      tenant to sell a  mobile  MANUFACTURED home on site, the condi-

13
      tions of that right, and the consequences of a tenant's failure

14
      to meet those conditions, all as prescribed in section 5781.

15
           Sec. 5785.  In  every  A contested action to terminate a

16
      tenancy in a  mobile  MANUFACTURED home  park  COMMUNITY for
   just

17
      cause, the court shall award liquidated damages to the prevailing

18
      party if a provision requiring liquidated damages is included in

19
      the lease or rental agreement governing the tenancy or rules or

20
      regulations adopted  pursuant to  UNDER the lease or rental

21
      agreement, as prescribed in section 28c of the  mobile home

22
      MANUFACTURED HOUSING commission act,  Act No. 96 of the Public

23
      Acts of 1987, being section 125.2328c of the Michigan Compiled

24
      Laws  1987 PA 96, MCL 125.2328C.  The liquidated damages shall

25
      not be construed to be a penalty.

26
           Enacting section 1.  This amendatory act does not take

27
      effect unless Senate Bill No. _____ or House Bill No. 5169



   02555'01 a                                  13

 1
      (request no. 02555'01) of the 91st Legislature is enacted into

 2
      law.




















































   02555'01 a          Final page.                          LTB