2007 Minnesota Statutes

82A.12 ENFORCEMENT; POWERS OF COMMISSIONER.
    Subdivision 1. Generally. The commissioner may issue a cease and desist order and may
issue an order denying, suspending, or revoking any registration, amendment renewal, or
exemption if the commissioner finds any of the following:
(1) that the membership camping operator or registrant or any controlling person thereof has
materially or intentionally violated or failed to comply with any provision of this chapter or any
rule or order of the commissioner;
(2) that the offer or sale of the membership camping contract has constituted or would
constitute a material misrepresentation to purchasers, or has operated or would operate as a fraud
or deceit upon purchasers;
(3) that the membership camping operator or registrant or any controlling person, agent, or
employee thereof, is engaging or about to engage in false, fraudulent, or deceptive practices in
connection with the offer and sale of a membership camping contract;
(4) that the membership camping operator or registrant or any controlling person or employee
thereof, has engaged in any fraudulent or deceptive practice, whether or not in connection with
the offer and sale of membership camping contracts, and the involvement of the person in the
business of the membership camping operator or registrant creates a substantial risk of harm
to prospective purchasers;
(5) that the financial condition of the membership camping operator materially adversely
affects, or would materially adversely affect, the ability of the membership camping operator such
that there is a reasonable likelihood that the membership camping operator will not be able to
substantially fulfill its obligations under the membership camping contract, and no other financial
security or assurance is provided by the membership camping operator to fulfill the obligations;
(6) that the membership camping operator's or registrant's enterprise or method of business
with respect to the operation of a campground in this state includes or would include activities
which are illegal or not in conformance with applicable statutes, ordinances, or regulations of any
governmental entity;
(7) that the membership camping operator or registrant or any controlling person thereof has
made material misrepresentations or concealed material facts in an application for registration;
(8) that any fee required by this chapter to be paid by the operator or registrant has not
been paid; and
(9) that the membership camping operator or controlling person, agent, or employee thereof,
has failed faithfully to perform any stipulation or agreement made with the commissioner as an
inducement to grant any registration, to reinstate any registration, or to permit any disclosure
statement; provided, however, that this clause shall not be deemed to require any stipulations
or agreements.
    Subd. 2. Hearing on order. If the commissioner finds that there are reasonable grounds to
believe that, unless an order is issued promptly, there is an immediate and significant risk of harm
to purchasers, the commissioner may issue an order under subdivision 1 without a prior hearing.
Upon the entry of such an order, the commissioner shall promptly serve a copy of the order upon
the subject membership camping operator or other person. The order shall state the reasons for its
issuance and shall either order a hearing, which shall be set for no later than 20 days from the date
of the order, or specify that upon the written request of the membership camping operator, or other
person, the matter will be set for hearing within 15 days after receipt of the request; provided
that with the consent of the membership camping operator, or other person, a hearing may be
held subsequent to the expiration of either period specified herein. If no hearing is requested
within 30 days of service of the order and none is ordered by the commissioner, the order will
remain in effect until it is modified or vacated by the commissioner. If a hearing is requested or
ordered, the commissioner, after notice and hearing in accordance with the provisions of chapter
14, shall affirm, modify, or vacate the order.
    Subd. 3. Order to show cause. If there are not grounds to employ the procedure prescribed
in subdivision 2, the commissioner may issue an order to show cause setting a hearing on a date
not later than ten days after its entry and requiring a membership camping operator or other
person to appear and show cause why a cease and desist order should not be issued, or why an
order denying, suspending, or revoking a registration, amendment, or exemption should not be
issued. The order to show cause shall give reasonable notice of the time and place for hearing
thereon, which shall be within ten days after entry of the order, unless the respondent agrees
otherwise, and shall state the reasons for the entry of the order. The hearing shall be conducted in
accordance with the provisions of chapter 14. After the hearing, the commissioner shall enter an
order making such disposition of the matter as the facts require.
    Subd. 4. Burden of proof. In any proceeding under this chapter, the burden of proving an
exemption or an exception from a definition is upon the person claiming it.
    Subd. 5. Investigations. The commissioner may make necessary public or private
investigations within or outside of this state to determine whether any person has violated or is
about to violate this chapter or any rule or order hereunder or to aid in the enforcement of this
chapter or in the prescribing of rules and forms hereunder. For purposes of any investigation or
proceeding under this chapter, the commissioner or any person designated by the commissioner
may require or permit any person to file a statement in writing, under oath or otherwise as the
commissioner determines, setting forth the facts and circumstances concerning the matter to be
investigated; administer oaths or affirmations, and upon the commissioner's own motion or upon
request of any party may subpoena witnesses, compel their attendance, take evidence, and require
the production of any matter which is relevant to the investigation, including the existence,
description, nature, custody, condition, and location of any books, documents, or other tangible
things and the identity and location of persons having knowledge of relevant facts, or any other
matter reasonably calculated to lead to the discovery of material evidence. Upon failure to obey a
subpoena or to answer questions propounded by the investigating officer and upon reasonable
notice to all persons affected thereby, the commissioner may apply to the district court for an
order to compel compliance.
History: 1985 c 129 s 12; 1986 c 444