Michigan § 445.1404 - Compensation or reward for procurement of contract or agreement prohibited; giving tangible items for advertising or sales promotion purposes.

Full text of Michigan Michigan Compiled Laws § 445.1404 — Compensation or reward for procurement of contract or agreement prohibited; giving tangible items for advertising or sales promotion purposes., with citation guidance and answers to common questions.

§ 445.1404. Compensation or reward for procurement of contract or agreement prohibited; giving tangible items for advertising or sales promotion purposes.

Sec. 404.(1)

As part of or in connection with the inducement to make a home improvement installment contract or home improvement charge agreement, a person shall not promise or offer to pay, credit, or allow to a buyer any compensation or reward for the procurement of a home improvement installment contract or home improvement charge agreement with others.

(2)

A person shall not offer, deliver, pay, credit, or allow to the buyer any gift, bonus, award, merchandise, or cash loan as an inducement to enter into a home improvement installment contract or to make a purchase under a home improvement charge agreement.

(3)

A contractor or financing agency may give tangible items to prospective buyers for advertising or sales promotion purposes where the gift is not conditioned upon obtaining a home improvement installment contract or making a purchase under a home improvement charge agreement, but such item shall not have a cost value in excess of $2.50 and a buyer or other person shall not receive more than 1 such item in connection with any 1 sale.

Source: official Michigan text · Last verified 2026-08-27

Frequently Asked Questions About Michigan § 445.1404

What does Michigan Compiled Laws § 445.1404 cover?

Section 445.1404 ("Compensation or reward for procurement of contract or agreement prohibited; giving tangible items for advertising or sales promotion purposes.") is part of the Michigan Compiled Laws, the codified statutory law of Michigan. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.

How do I cite Michigan § 445.1404?

A common citation format is "Michigan Compiled Laws § 445.1404" (Michigan). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.

Is this the official text of Michigan law?

No. This page is for research and education and may not include the most recent amendments. For official current law, check the Michigan official source linked on this page or consult a licensed Michigan attorney.

How does Michigan § 445.1404 apply to my situation?

Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Michigan can advise on how this section applies to you. Contact your state or local bar association for a referral.

Sources & Verification

Not legal advice. Verify against the official source and consult a licensed attorney in Michigan.