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HB 5929

Property: land sales; definition of a crime as related to property eligible for forfeiture; modify. Amends sec. 4701 of 1961 PA 236 (MCL 600.4701). TIE BAR WITH: HB 5928'26, HB 5930'26

2025-2026 Regular Session Introduced by Alabas Farhat and 6 co-sponsors

HB 5929 broadens asset forfeiture to include a wide range of crimes, tying forfeiture to proceeds, substitutes, and instruments of crime once companion bills pass.

bill electronically reproduced 04/30/2026
#crimes:other #housing:residential #property:landsales
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WeVote Research Nonpartisan
Bill Summary · HB 5929

Summary of House Bill 5929 (2025-2026), Michigan

This summary explains the main purpose, key provisions, who is affected, and procedural/timeline aspects of HB 5929 as introduced in Michigan’s 2025-2026 session.

Purpose and Intent

  • HB 5929 amends section 4701 of 1961 PA 236 (the Revised Judicature Act) to expand and clarify the definition of “crime” for the purposes of asset forfeiture.
  • The bill ties its effect to a set of related bills (a “tie bar” with HB 5928 and HB 5930), meaning it is contingent on enactment of those companion measures.

Key Provisions and Changes

  • Definition of “Crime” (Sec. 4701): The bill lists specific offenses whose commission, attempt, conspiracy, or solicitation may trigger forfeiture of property. The offenses include:
    • Violations of various parts of the Natural Resources and Environmental Protection Act (parts 111, 121, and 413, including permits involving prohibited aquatic species).
    • Violations of the Medicaid False Claim Act (sections 4, 5, and 7).
    • Violations of the Michigan Antitrust Reform Act (sections 2 or 3).
    • Violations under the Uniform Securities Act (section 508).
    • Violations under multiple listed provisions of Michigan’s Penal Code (sections 49, 75, 94-96, 100, etc., and numerous other enumerated sections).
    • Violations under Chapter LXVIIA and Chapter LXXXIII-A of the Penal Code (specific chapters indicating certain criminal offenses).
    • Violations of section 601 of the Occupational Code.
    • Violations of the Homes Are For People Act.
  • Additional Definitions:
    • “Instrumentality of a crime”: Property (excluding real property) whose use directly and materially contributes to committing a crime.
    • “Person”: Broadly defined to include individuals, corporations, LLCs, partnerships, and other entities, including associations.
    • “Proceeds of a crime”: Property obtained through a crime, including any appreciation in value.
    • “Security interest”: Any property interest that secures payment or performance of an obligation.
    • “Substituted proceeds of a crime”: Property gained from sale or exchange of crime proceeds.
    • “Willful blindness”: Intentional disregard of facts that would lead a reasonable person to conclude the property derives from unlawful activity or will be used unlawfully.
  • Effective Date/Tie Bar:
    • The act’s enactment is contingent upon the passage of specified companion bills (HB 5928 or HB 5930, or their Senate counterparts). This means the reform would not take effect unless those other related bills cross the finish line in law.

Who Is Affected

  • Who may be subject to forfeiture: Individuals or entities (including corporations and other business entities) whose property is proceeds, substitutes, or instrumental to crimes described in the statute.
  • Property types impacted: Both proceeds and substitutes derived from crimes, including any gained appreciation, and any instrumentality used to commit offenses, but not real property (for instruments of crime).
  • Legal/financial interests: Security interests in property tied to these crimes may be affected through forfeiture mechanisms.

Procedural and Timeline Aspects

  • Status: Introduced in April 2026; referred to the Committee on Regulatory Reform. As of the action history, there is no enacted version yet.
  • LegislativeCondition: The bill is a tie-bar measure requiring enactment of related bills (HB 5928 and HB 5930 or their Senate equivalents) to take effect.
  • Next steps: If the companion bills pass and are enacted, HB 5929 would take effect according to the act’s provisions; otherwise, it would not become law.

Note on Scope and Legal Impact

  • The bill broadens the scope of property that can be forfeited by tying forfeiture to a wide array of criminal offenses, including environmental violations, healthcare fraud, antitrust, securities, and numerous penal code offenses.
  • It clarifies terms related to forfeiture (instrumentality, proceeds, substituted proceeds, willful blindness) to support enforcement and judicial application.

If you’d like, I can provide a side-by-side comparison with current statute language or draft a plain-English explainer for stakeholders (businesses, environmental groups, and legal practitioners).

Compiled from official sources — confirm details with the bill’s official record.

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