SENATE BILL No. 1505

 

 

September 16, 2008, Introduced by Senators ANDERSON, SCHAUER, CLARK-COLEMAN, BARCIA, OLSHOVE, SWITALSKI, SCOTT and JACOBS and referred to the Committee on Judiciary.

 

 

 

     A bill to amend 1984 PA 274, entitled

 

"Michigan antitrust reform act,"

 

by amending the title and sections 6 and 7 (MCL 445.776 and

 

445.777), the title as amended by 1987 PA 243.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     TITLE

 

     An act to prohibit contracts, combinations, and conspiracies

 

in restraint of trade or commerce; to allow certain agreements not

 

to compete; to prohibit monopolies and attempts to monopolize trade

 

or commerce; to prescribe powers and duties of certain state

 

officers and agencies under this act and federal restraint of trade

 

statutes; to provide remedies, fines, and penalties for violations

 

of this act; to bar certain causes of action; and to repeal certain


 

acts and parts of acts.

 

     Sec. 6. (1) If the attorney general or a prosecuting attorney

 

has reasonable cause to believe that a person has information or is

 

in possession, custody, or control of any document or other

 

tangible object relevant to an investigation for violation of this

 

act or a federal statute applicable to restraints of trade that

 

authorizes or permits state action, the attorney general or a

 

prosecuting attorney, with the permission of, or at the request of,

 

the attorney general, may serve upon on the person, before bringing

 

any action in the circuit any state or federal court, a written

 

demand to appear and be examined under oath, and to produce the

 

document or object for inspection and copying. The demand shall

 

include must meet all of the following:

 

     (a) Be served upon on the person in the manner required for

 

service of process in this state.

 

     (b) Describe the nature of the conduct constituting the

 

violation under investigation.

 

     (c) Describe the document or object with sufficient

 

definiteness to permit it to be fairly identified.

 

     (d) If demanded, contain a copy of the written

 

interrogatories.

 

     (e) Prescribe a reasonable time at which the person must

 

appear to testify, within which to answer the written

 

interrogatories, and within which the document or object must be

 

produced, and advise the person that objections to or reasons for

 

not complying with the demand may be filed with the attorney

 

general or prosecuting attorney, with the permission of, or at the


 

request of, the attorney general, on or before that time.

 

     (f) Specify a place for the taking of testimony or for

 

production and designate the person who shall be custodian of the

 

document or object.

 

     (g) Contain a copy of subsection (2).

 

     (2) If a person objects to or otherwise fails to comply with

 

the written demand served upon him or her under subsection (1), the

 

attorney general or a prosecuting attorney, with the permission of,

 

or at the request of, the attorney general, may file an action in

 

the circuit court of the county in which the person resides or in

 

which the person maintains a principal place of business within

 

this state an action an appropriate state or federal court to

 

enforce the demand. Notice of The attorney general or prosecuting

 

attorney shall serve notice of the hearing of the action and a copy

 

of all pleadings shall be served upon on the person, who may appear

 

in opposition. If the court finds that the demand is proper, that

 

there is reasonable cause to believe that there may have been or is

 

presently occurring a violation of this act or the federal statute,

 

and that the information sought or document or object demanded is

 

relevant to the investigation, the court shall order the person to

 

comply with the demand, subject to any modification prescribed by

 

the court. may prescribe. Upon motion by the person and for good

 

cause shown, the court may make any further order in the

 

proceedings that justice requires to protect the person from

 

unreasonable annoyance, embarrassment, oppression, burden, or

 

expense.

 

     (3) Any The attorney general or prosecuting attorney shall


 

keep procedure, testimony taken, or material produced shall be kept

 

pursuant to a demand under subsection (1) confidential by the

 

attorney general or a prosecuting attorney before bringing an

 

action against a person under this act or the federal statute for

 

the violation under investigation, unless confidentiality is waived

 

by the person being investigated and the person who has testified,

 

answered interrogatories, or produced material , or disclosure is

 

authorized by the court.

 

     Sec. 7. (1) The attorney general or a prosecuting attorney,

 

with the permission of, or at the request of, the attorney general,

 

may bring an action for appropriate injunctive or other equitable

 

relief and civil penalties in the name of the state for a violation

 

of this act. The court may assess for benefit of the state a civil

 

penalty of not more than $50,000. 00 for each violation of this

 

act.

 

     (2) The attorney general, or a prosecuting attorney acting

 

with the permission of or at the request of the attorney general,

 

may bring an action in the name of the state for appropriate

 

injunctive or other equitable relief, civil remedies, or criminal

 

penalties for a violation of any federal statute applicable to

 

restraints of trade that authorizes or permits state action.