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The following opinion is presented on-line for informational use only and does not replace the official version. (Mich Dept of Attorney General Web Site - www.ag.state.mi.us) STATE OF MICHIGAN FRANK J. KELLEY, ATTORNEY GENERAL Opinion No. 6407 December 15, 1986 MOBILE HOMES AND MOBILE HOME PARKS: Licensure of person leasing a mobile home located in a mobile home park to another person A person who leases fewer than three mobile homes upon rented mobile home park lots is not required to be licensed either as a mobile home dealer or as a mobile home park operator under the Mobile Home Commission Act. Honorable Michael E. Nye State Representative The Capitol Lansing, Michigan 48913 You have requested my opinion on the following question: Whether the Mobile Home Commission Act, MCL 125.1101 et seq; MSA 19.855(a) et seq, requires a person owning a mobile home and placing it upon a rented mobile home park lot to be licensed if the person rents the home to third persons but is not otherwise engaged in the business of buying or selling mobile homes or owning nor operating a mobile home park. The Mobile Home Commission Act, MCL 125.1101 et seq; MSA 19.855(1) et seq, requires the licensure of mobile home dealers and mobile home parks. As used in the Act, a "mobile home dealer" is defined in MCL 125.1102(h); MSA 19.855(2)(h), as "a person other than a manufacturer engaged in the business of buying homes for resale, exchange, lease or rent or offering mobile homes for sale, lease, rent or exchange to customers." (Emphasis added.) In MCL 125.1121(1); MSA 19.855(21)(1), the Legislature has provided that a "mobile home dealer shall not engage in the retail sale of a mobile home without a license." (Emphasis added.) Further, MCL 125.1116; MSA 19.855(16), provides that "[a] person shall not operate a mobile home park or a seasonal mobile home park without a license." There is no explicit statutory proscription in the Mobile Home Commission Act dealing with the unlicensed leasing of a mobile home. The Mobile Home Code Commission is authorized to promulgate rules governing the licensure of mobile home dealers and mobile home parks. MCL 125.1104; MSA 19.855(4). The Mobile Home Code Commission has promulgated 1985 AACS, R 125.1101, which in pertinent part provides: "(p) 'Mobile home dealer' means a person who, with intent to collect or receive a commission, sells or offers for sale, buys or offers to buy, lists or offers to list, or negotiates the purchase of, a mobile home. "(y) 'Type 1 license' means a dealer's license which is issued to a person by the commission and which allows the person to maintain a mobile home dealership or a mobile home brokerage, or both. "(z) 'Type 2 license' means a dealer's license issued to a person by the commission allowing the person to engage in the leasing of 3 or more mobile homes in a licensed mobile home park. A person, as defined in the act and licensed as a mobile home park, is not required to hold an additional license, but is responsible for complying with the business practice rules for this type of license." (1) (Emphasis added.) The Legislature, in pertinent part, defined a "mobile home dealer" in MCL 125.1102(h); MSA 19.855(2)(h), as a person engaged in the business of offering mobile homes for lease. It is significant that the term "homes" was used in the plural by the Legislature, when contrasted with the proscription against unlicensed retail sale of a mobile home stated in the singular in MCL 125.1121(1); MSA 19.855(21)(1). The term "home" must be applied in its plain and ordinary meaning. This reading of the Mobile Home Act accords with the rule of statutory construction that where the language employed in a statute is plain, certain, and unambiguous, a bare reading suffices and no interpretation is necessary. Owendale-Gagetown School Dist v. State Board of Education, 413 Mich 1, 8; 317 NW2d 529, 531 (1982); City of Grand Rapids v. Crocker, 219 Mich 178, 182; 189 NW 221, 222 (1922). Consequently, a person who engages in the leasing or offering to lease of one mobile home would not be subject to licensure as a mobile home dealer pursuant to MCL 125.1102(h); MSA 19.855(2)(h). The applicable test of the validity of administrative rules was set forth in Chesapeake & O R Co. v Public Service Commission, 59 Mich App 88, 98-99; 228 NW2d 843, 849, lv den, 394 Mich 818 (1975): "Where an agency is empowered to make rules, courts employ a three-fold test to determine the validity of the rules it promulgates: (1) whether the rule is within the matter covered by the enabling statute; (2) if so, whether it complies with the underlying legislative intent; and (3) if it meets the first two requirements when it is neither arbitrary nor capricious." 1985 AACS, R 125.1101, in requiring licensure as a mobile home dealer of a person engaged in leasing of three or more mobile homes in a licensed mobile home park, satisfies the tenents of this three-part test. The rule is within the confines of the enabling statute since the commission is authorized to adopt rules governing the licensure of mobile home dealers when leasing mobile homes. Further, this licensing scheme comports with the underlying legislative intent to regulate "mobile home dealers' business, sales and service practices." See, Second House Analysis, HB 4181, as enrolled (December 30, 1976). Additionally, this rule is neither arbitrary nor capricious in operation. Thus, 1985 AACS, R 125.1101, is a legitimate promulgation and a mobile home dealer leasing three or more mobile homes is required to be properly licensed in order to lease three or more mobile homes as set forth in 1985 AACS, R 125.1101(p)(z). A "mobile home park" is defined in MCL 125.1102(i); MSA 19.855(i), as a parcel or tract of land under control of a person upon which three or more mobile homes are located on a nonrecreational basis and offered to the public for occupancy, plus additional facilities for use of the occupant. Licensure of a person operating a mobile home park is required by MCL 125.1116; MSA 19.855(16). A mobile home park license would not be required in the situation at issue because the person is not operating a mobile home park upon which three mobile homes under his control are located. It follows that a person who owns a single mobile home, who places it on a rented mobile home park lot, and who rents the home to third persons does not meet the threshold of licensure either as a mobile home dealer or a mobile home park operator. It is my opinion, therefore, that a person who leases fewer than three mobile homes located upon rented mobile home park lots is not required to be licensed as either a mobile home dealer or as a mobile home park operator under the Mobile Home Commission Act. Frank J. Kelley Attorney General (1)
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