THE MICHIGAN PENAL CODE (EXCERPT) Act 328 of 1931

750.159m Property subject to civil in rem forfeiture; exceptions; encumbrances; attorney fees. Sec. 159m.

(1) Except as otherwise provided in this section, all real, personal, or intangible property of a person convicted of a violation of section 159i that is the proceeds of racketeering, the substituted proceeds of racketeering, or an instrumentality of racketeering, is subject to civil in rem forfeiture to a local unit of government or the state under this section and sections 159n to 159q. (2) Real property that is the primary residence of the spouse of the owner is not subject to civil in rem forfeiture under this section and sections 159n to 159q, unless that spouse had prior actual knowledge of, and consented to and participated in the commission of, the racketeering activity. Real property that is the primary residence of a dependent minor child of the owner is not subject to civil in rem forfeiture under this section and sections 159n to 159q. (3) Property is not subject to civil in rem forfeiture if either of the following circumstances exists: (a) The owner of the property did not have prior actual knowledge of the commission of the racketeering activity. (b) The owner of the property served notice of the commission of the crime upon an appropriate law enforcement agency. (4) The civil in rem forfeiture of property encumbered by a security interest is subject to the interest of the holder of the security interest who did not have prior actual knowledge of the racketeering activity. (5) The civil in rem forfeiture of property encumbered by an unpaid balance on a land contract is subject to the interest of the land contract vendor who did not have prior actual knowledge of the racketeering activity. (6) Reasonable attorney fees for representation in an action under this chapter are not subject to civil in rem forfeiture under this chapter.

History: Add. 1995, Act 187, Eff. Apr. 1, 1996

Simplified Explanation of Michigan Penal Code Section 750.159m

This section of the Michigan Penal Code relates to property that can be seized in a civil forfeiture in connection with racketeering activity.

1. Civil Forfeiture: Real, personal, or intangible property belonging to a person convicted of a violation under section 159i can be subject to civil forfeiture. This includes any proceeds from the racketeering activity, any property that was obtained as a substitute for these proceeds, or any property used as a tool to carry out the racketeering activity. The seized property can be forfeited to the state or a local government entity.
2. Primary Residence Exceptions: If real property is the primary residence of the owner's spouse or a dependent minor child, it cannot be forfeited unless the spouse had prior knowledge of, consented to, and participated in the racketeering activity. The primary residence of a dependent minor child of the owner cannot be seized under any circumstances.
3. Owner Exceptions: Property cannot be forfeited if the owner either did not have prior knowledge of the racketeering activity, or if they reported the crime to a law enforcement agency.
4. Security Interests and Land Contracts: If the property that is to be forfeited has a security interest (a legal claim on collateral that has been pledged to obtain a loan), then that security interest is preserved if the holder did not have prior knowledge of the racketeering activity. The same applies for property that has an unpaid balance on a land contract (a type of seller financing).
5. Attorney Fees: Reasonable attorney fees for representation in an action under this chapter cannot be forfeited under this chapter.

Please note, this explanation is a simplified summary of the law and not legal advice. Always consult a legal professional for matters related to law.