Michigan Supreme Court Restores Critical Consumer Protections in Landmark Decision

July 31, 2026 — Press Release

LANSING, Mich. — In a major victory for Michigan consumers, the Michigan Supreme Court today ruled in favor of the Attorney General in Attorney General v Eli Lilly and Co., adopting a narrow interpretation of an exemption in the Michigan Consumer Protection Act (MCPA) and restoring critical protections against unfair, unconscionable, and deceptive business practices.

The Court’s decision overturns two wrongly decided cases that had significantly weakened the MCPA, reaffirming that only conduct specifically authorized by regulators is exempt from the law. The ruling restores the statute to its original purpose: protecting Michigan consumers from fraud, deception, and abuse in the marketplace.

For years, the Court’s prior decisions had rendered the MCPA “of little or no use to consumers,” as documented by the National Consumer Law Center’s 50-state survey of consumer protection laws, leaving many without meaningful legal remedies and allowing deceptive practices to flourish. Today’s decision marks a turning point.

“The Court’s decision brings Michigan back in line with the vast majority of states that provide meaningful protections against unfair and deceptive practices,” said Michael Best, Director of State Advocacy at the National Consumer Law Center. “Strong state consumer protection laws are essential to ensuring fair markets and access to justice, particularly as federal enforcement resources decline. This ruling will have a profound impact on consumers across Michigan.”

“Today’s ruling is a long-overdue correction that restores the promise of the Michigan Consumer Protection Act,” said Libby Benton, Director of the Michigan Poverty Law Program. “For too long, Michigan consumers—especially those with the fewest resources—have been left vulnerable to unfair and deceptive practices. This decision reopens the courthouse doors and ensures that bad actors can once again be held accountable.”

Legal aid organizations across the state welcomed the decision, noting that it will significantly expand access to justice for consumers who previously had little practical ability to challenge deceptive practices.

“This decision restores meaningful access to justice for thousands of low-income Michiganders,” said Shannon Lucas, Executive Director of the Michigan Advocacy Program and Co-Chair of the Legal Services Association of Michigan. “Every year, legal aid programs counsel thousands of consumers harmed by deceptive practices, yet too often they have been unable to obtain relief because of the Court’s prior interpretation of the Act. By restoring the Michigan Consumer Protection Act, the Court has reopened an important pathway to accountability and given legal aid advocates a stronger tool to protect vulnerable consumers.”

As MPLP, LSAM, and the National Consumer Law Center (NCLC) highlighted in a joint amicus brief filed in the case, the need for robust protections has never been greater. Michigan consumers reported losing more than $200 million to fraud in 2024, while tens of thousands of complaints continue to pour into state and federal agencies annually. At the same time, federal consumer protection enforcement has declined, placing increased importance on strong state laws.

By restoring the MCPA’s intended scope, the Court’s decision strengthens the ability of the Attorney General and private litigants to combat widespread harms, including deceptive auto sales, predatory home repair schemes, hidden rental fees, and financial scams that disproportionately impact seniors and low-income families.

The ruling also aligns Michigan with other states that have successfully used consumer protection laws to recover millions of dollars for residents and deter unlawful conduct.

Advocates emphasized that the decision not only provides relief to victims but also promotes a fair and competitive marketplace by holding businesses accountable and deterring misconduct.

“This is a win for consumers, for honest businesses, and for the integrity of Michigan’s economy,” Benton added. “The law now works as the Legislature intended.”

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The Michigan Poverty Law Program (MPLP) works to advance the health, safety, and economic security of low-income Michiganders and advance racial justice. It does so by working in partnership with individuals, community organizations, legal aid organizations, and policymakers to make lasting, impactful systems change.

The Legal Services Association of Michigan’s members are eleven of the largest civil legal services organizations in Michigan. Collectively, they provide legal services to low-income individuals and families in more than 50,000 cases each year.