SENATE BILL NO. 488

A bill to amend 1987 PA 96, entitled

"The mobile home commission act,"

(MCL 125.2301 to 125.2350) by adding section 30j.

the people of the state of michigan enact:

Sec. 30j. (1) An owner of a mobile home park at which a mobile home owned by another person is located may declare the mobile home abandoned if all of the following conditions are met:

(a) A court of competent jurisdiction issued an order pursuant to chapter 57 of the revised judicature act of 1961, 1961 PA 236, MCL 600.5701 to 600.5759, or chapter 57a of the revised judicature act of 1961, 1961 PA 236, MCL 600.5771 to 600.5785, restoring possession of the premises to the mobile home park owner.

(b) Either the mobile home has been continuously unoccupied for at least 90 days after the court issued the order described in subdivision (a) or rent has not been paid for at least 10 days after the court issued the order described in subdivision (a).

(c) Any indebtedness that is secured by the mobile home or is related to a lease agreement or terms of the tenancy between the mobile home park owner and the mobile home owner is delinquent.

(d) The mobile home park owner has a license to own the mobile home park under section 16.

(2) Before declaring a mobile home abandoned but after meeting the requirements of subsection (1), the mobile home park owner must do all of the following:

(a) Using industry standards, calculate the fair market value of the mobile home and determine whether the fair market value of the mobile home exceeds the sum of the amount of rent due and unpaid for the premises occupied by the mobile home, any unpaid fees, and any unpaid utility service fees that are owed to the mobile home park by the mobile home owner.

(b) Affix a notice of intent to declare the mobile home abandoned on the mobile home.

(c) Send a copy of the notice of intent to declare the mobile home abandoned and a copy of the complete appraisal or other valuation document on which the mobile home park owner relied to determine the fair market value of the mobile home by certified United States Postal Service mail to the mobile home owner, all persons identified on the lease agreement between the mobile home park owner and the mobile home owner, all forwarding addresses provided by the mobile home owner to the mobile home park owner, and all lienholders at the addresses listed on the mobile home owner's title.

(d) File a copy of the notice of intent to declare the mobile home abandoned with the secretary of state.

(3) If the mobile home park owner determines that the fair market value of the mobile home, as calculated under subsection (2)(a), exceeds the sum of the amount of rent due and unpaid for the premises occupied by the mobile home, any unpaid fees, and any unpaid utility service fees that are owed to the mobile home park by the mobile home owner, the mobile home park owner shall, upon filing the notice of intent to declare the mobile home abandoned under subsection (2), make a good-faith effort to send a written notice to the mobile home owner that the mobile home owner is entitled to receive the amount of the excess from the mobile home park, subject to any liens on the mobile home, that is equal to the fair market value of the mobile home minus the sum of the amount of rent due and unpaid for the premises occupied by the mobile home, any unpaid fees, and any unpaid utility service fees that are owed to the mobile home park by the mobile home owner. A written notice sent pursuant to this subsection must include a check for the amount of the excess and a written statement in at least 12-point boldfaced type that substantially conforms to the following:

"This payment is being sent to you pursuant to section 30j of the mobile home commission act, 1987 PA 96, MCL 125.2330j. The amount is determined by subtracting the amount of rent due and unpaid for the premises occupied by your mobile home, any unpaid fees, and any unpaid utility service fees that you owe to the mobile home park from the fair market value of your mobile home.

If you accept this payment by cashing the check, depositing the check into your bank account, or negotiating the check, you agree and acknowledge that the calculation of the fair market value of your mobile home is accurate and that you are releasing the mobile home park from any further liability that arises under section 30j of the mobile home commission act, 1987 PA 96, MCL 125.2330j.

If you do not agree with the calculation of the fair market value of your mobile home, you have the right to dispute the mobile home park's calculation of the fair market value of your mobile home by bringing an action in a court of competent jurisdiction to recover any excess amount you believe that is owed to you.".

(4) Upon receiving a notice of intent to declare a mobile home abandoned, the secretary of state shall, within 10 days of the receipt of the notice, send a written notice by United States Postal Service mail to the mobile home owner and any lienholder at all current addresses the secretary of state has in the secretary of state's records for the mobile home owner and the lienholder. The written notice sent by the secretary of state under this subsection must contain all of the following:

(a) A statement explaining the requirements of this section.

(b) The secretary of state's contact information if the mobile home owner intends to contest the declaration that the mobile home is abandoned.

(c) A statement explaining that the mobile home ow