{"id":374177,"date":"2016-03-31T21:35:40","date_gmt":"2016-04-01T02:35:40","guid":{"rendered":"https:\/\/content.findlaw-admin.com\/ability-law\/state\/michigan-law\/michigan-telemarketing-fraud.html"},"modified":"2016-06-20T19:48:50","modified_gmt":"2016-06-21T00:48:50","slug":"michigan-telemarketing-fraud","status":"publish","type":"page","link":"https:\/\/www.findlaw.com\/state\/michigan-law\/michigan-telemarketing-fraud.html","title":{"rendered":"Michigan Telemarketing Fraud"},"content":{"rendered":"\n
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Michigan Telemarketing Fraud<\/h1>\n
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Created by FindLaw’s team<\/a> of legal writers and editors<\/i><\/p>\n\n | Last updated\n

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This article has been written and reviewed for legal accuracy, clarity, and style by FindLaw\u2019s team of legal writers and attorneys<\/a> and in accordance with our editorial standards<\/a>.<\/em><\/p>\n\n <\/div>\n <\/details>\n\n

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The last updated date refers to the last time this article was reviewed by FindLaw or one of our contributing authors<\/a>. We make every effort to keep our articles updated. For information regarding a specific legal issue affecting you, please contact an attorney in your area<\/a>.<\/em><\/p>\n\n <\/div>\n <\/details>\n<\/section>\n

In Michigan, a telemarketing call is an unsolicited phone call made by a business to try and sell you a product or service, or an extension of credit.<\/p>\n

Sometimes telemarketing fraud<\/a> can occur in this context. That means any type of fraudulent scheme<\/a> in which a criminal uses a phone to try and scam victims to illegally take their money.<\/p>\n

Telemarketing fraud can come in the form of sweepstakes or prize calls, credit repair schemes, or investment rip offs — just to name a few. The elderly are particularly at risk for this type of crime. The number of telemarketing scams aimed at seniors has been on the rise, prompting warnings from the U.S. Attorney.<\/p>\n

One of these so-called \u201cgrandparent scams\u201d has been most rampant in Michigan, according to a consumer protection expert in that state.<\/p>\n

In most instances, victims will report telemarketing fraud to the federal government, but here is a general overview of Michigan state telemarketing laws.<\/p>\n

The following table highlights the main provisions of the Michigan Home Solicitation Sales Act and the Consumer Protection Act. See Federal Telemarketing Rules<\/a>, Property Crimes<\/a>, and White Collar Crimes<\/a> for more information.<\/p>\n\n
Code Section<\/b><\/td>\nMichigan Home Solicitation Sales Act<\/a> (PDF), MCL 445.903, Michigan Consumer Protection Act<\/a><\/td>\n<\/tr>
Enforcement Agencies<\/b><\/td>\nMichigan Attorney General Consumer Protection Division<\/a><\/td>\n<\/tr>
Remedies<\/b><\/td>\n

Criminal and Civil Penalties including declaratory judgments, injunctions<\/a>, individual damages, reasonable attorney’s fees, and class action lawsuits<\/a>.<\/p>\n

Persons who suffer loss as a result of a violation of the law may bring a private lawsuit to recover actual damages or $250.00, whichever is greater, and reasonable attorney fees.<\/p>\n

Violators are also subject to penalties under the Michigan Consumer Protection Act, because a violation of the Home Solicitation Sales Act also constitutes a violation of the Consumer Protection Act.<\/p>\n

Additionally, certain violations are punishable as a misdemeanor<\/a>, or by imprisonment for not more than six months or a fine of not more than $500.00, or both. (This penalty applies to commission of acts that are defined as being unfair or deceptive by the act, such as certain misrepresentations by telephone solicitors. It does not apply to violations of the do-not-call provisions).<\/p>\n<\/td>\n<\/tr>

Hours<\/b><\/td>\nCalls can only come between 8 a.m. to 9 p.m.<\/td>\n<\/tr>
Do Not Call Registry<\/b><\/td>\nConsumers can register for the National "Do Not Call List<\/a>."<\/td>\n<\/tr>
Who Can Bring an Individual Lawsuit?<\/b><\/td>\nThe Attorney General, a county prosecutor, or individual consumer may bring a lawsuit under the Consumer Protection Act. Any person can bring a lawsuit for declaratory or injunctive relief. Only a person who suffers an actual loss can sue for civil damages or join a class action lawsuit.<\/td>\n<\/tr>
What Does the Law Prohibit?<\/b><\/td>\n

1. Misrepresenting or fail to clearly disclose:<\/p>\n