Bill

Bill > SB0088


MI SB0088

MI SB0088
Liquor: other; payment of administrative fee to wholesaler for a payment dishonored by a financial institution; require. Amends sec. 903b of 1998 PA 58 (MCL 436.1903b).


summary

Introduced
02/19/2025
In Committee
03/12/2025
Crossed Over
03/12/2025
Passed
Dead

Introduced Session

103rd Legislature

Bill Summary

A bill to amend 1998 PA 58, entitled"Michigan liquor control code of 1998,"by amending section 903b (MCL 436.1903b), as added by 2016 PA 434.

AI Summary

This bill amends the Michigan Liquor Control Code to establish a structured administrative fee system for retailers whose payments to wholesalers are dishonored by financial institutions. Under the new provisions, if a retailer's payment is returned for any reason, the wholesaler can charge escalating administrative fees: $50 for the first dishonored payment, $100 for the second, $150 for the third, $200 for the fourth, and $250 for the fifth or any subsequent dishonored payment within a 12-month period. The bill broadens the original language by removing specific references to lack of sufficient funds and instead applies the penalty to any payment dishonored by a financial institution. This change expands the potential scenarios under which a retailer could be penalized and provides a clear, incremental fee structure to discourage repeated payment issues in the liquor distribution system.

Committee Categories

Government Affairs

Sponsors (4)

Last Action

Referred To Committee On Regulatory Reform (on 03/12/2025)

bill text


bill summary

Loading...

bill summary

Loading...
Loading...