Section R. 432.404 - Supplier license terms and conditionsRule 404.
(1) Upon the issuance of a supplier license, the licensed supplier agrees to all of the following terms and conditions:(a) To be bound by and comply with the act, these rules, terms of probation, directives, public policy of this state, and any other local, state, and federal laws and regulations.(b) To not assign or transfer the supplier license. A privately held corporation, partnership, or sole proprietorship acting as a licensed supplier shall not attempt to sell or transfer an interest in the business without the prior written approval of the executive director.(c) To immediately report to the executive director in writing any change in the information stated on, or attached to, the supplier license application.(d) To only accept checks from a licensee's account for the payment of equipment or dealers.(e) To not reveal investigative information to any licensee.(f) To hold the executive director and this state harmless from any liability, including, but not limited to, taxes and legal expenses.(2) The location the licensed supplier does business, including supplemental storage locations or where an applicant or licensed supplier intends to do business or store equipment, must be open to inspection by an authorized representative of the executive director during reasonable business hours.(3) An individual shall not refuse to cooperate with, hinder, or obstruct in any way, an authorized representative of the executive director while the representative is performing official duties.(4) A licensed supplier shall not require any licensee to enter into an exclusive purchase agreement with that licensed supplier.(5) A licensed supplier may rent or sell authorized equipment to qualified organizations for a reasonable rate as approved by the executive director.(6) A licensed supplier may provide dealers to a qualified organization.(7) A licensed supplier shall not make a payment to, or accept a payment from, either directly or indirectly, a location owner or lessor for anything related to a millionaire party.(8) Notwithstanding R 432.314(2), if a licensed supplier provides the dealers, the licensed supplier shall be responsible for the actions of the dealers, including compliance with the act, these rules, terms of probation, directives, public policy of this state, and any other local, state, and federal laws and regulations.(9) The executive director may deny, summarily suspend, suspend, revoke, or refuse to renew a supplier license as prescribed by R 432.108 to R 432.110.Mich. Admin. Code R. 432.404
2014 AACS; 2023 MR 20, Eff. 10/24/2023