AB150, s. 6845
10Section
6845. 553.51 (4) of the statutes is amended to read:
AB150,2220,1611
553.51
(4) No action may be maintained to enforce any liability under this
12section unless brought before the expiration of 3 years after the act or transaction
13constituting the violation upon which the liability is based or 90 days after delivery
14to the franchisee of a written notice disclosing any violation of s. 553.21 or 553.41,
15which notice shall be approved as to form by the
commissioner department,
16whichever first expires.
AB150, s. 6846
17Section
6846. 553.53 (1) of the statutes is amended to read:
AB150,2220,2418
553.53
(1) No person may publish, distribute or use in this state any
19advertisement offering to sell or to purchase a franchise unless 2 true copies of the
20advertisement have been filed
in the office of the commissioner with the department 21at least 5 days prior to the first publication, distribution or use thereof or such shorter
22period as the
commissioner department by rule or order may allow, or unless the
23advertisement has been exempted from this section by rule of the
commissioner 24department.
AB150, s. 6847
25Section
6847. 553.53 (2) of the statutes is amended to read:
AB150,2221,2
1553.53
(2) The
commissioner
department may by rule or order prohibit the use
2of advertising deemed false, fraudulent, misleading or deceptive.
AB150, s. 6848
3Section
6848. 553.54 (1) of the statutes is amended to read:
AB150,2221,114
553.54
(1) The department of justice or any district attorney, upon informing
5the department of justice, may commence an action in circuit court in the name of
6the state to restrain by temporary or permanent injunction any act or practice
7constituting a violation of this chapter or any rule or order hereunder. The
8commissioner department of financial institutions may refer such evidence as is
9available concerning any violation to the district attorney of the county in which the
10violation occurred or to the attorney general who may institute proceedings under
11this section.
AB150, s. 6849
12Section
6849. 553.54 (3) of the statutes is amended to read:
AB150,2221,2013
553.54
(3) The department of justice may subpoena persons, administer oaths,
14take testimony, require the production of books and other documents and may
15request the
commissioner department of financial institutions to exercise the
16commissioner's department's authority under s. 553.55 to aid in the investigation of
17alleged violations of this chapter. If a person fails to obey any subpoena issued by
18the department of justice, that person may be coerced under s. 885.12, except that
19no person shall be required to furnish any testimony or evidence under this
20subsection which might tend to incriminate that person.
AB150, s. 6850
21Section
6850. 553.54 (4) of the statutes is amended to read:
AB150,2222,622
553.54
(4) In lieu of instituting or continuing an action pursuant to this section,
23the
commissioner department of financial institutions or the department of justice
24may accept a written assurance of discontinuance of any act or practice alleged to be
25a violation of this chapter from the person who has engaged in such act or practice.
1The acceptance of such assurance by either the
commissioner department of
2financial institutions or the department
of justice shall be deemed acceptance by
3other state officials if the terms of the assurance so provide. An assurance entered
4into pursuant to this subsection shall not be considered evidence of a violation of this
5chapter, however, a violation of such an assurance constitutes a violation of this
6chapter and shall be subject to all penalties and remedies provided therefor.
AB150, s. 6851
7Section
6851. 553.55 (1) of the statutes is amended to read:
AB150,2222,138
553.55
(1) The
commissioner department may make such public or private
9investigations within or outside of this state as the
commissioner department deems
10necessary to determine whether any person has violated or is about to violate this
11chapter or any rule or order hereunder or to aid in the enforcement of this chapter
12or in the prescribing of rules and forms hereunder, and publish information
13concerning the violation of this chapter or any rule or order hereunder.
AB150, s. 6852
14Section
6852. 553.55 (2) of the statutes is amended to read:
AB150,2222,2115
553.55
(2) For the purpose of any investigation or proceeding under this
16chapter, the
commissioner department or any officer designated by the
commissioner 17department may administer oaths and affirmations, subpoena witnesses, compel
18their attendance, take evidence and require the production of any books, papers,
19correspondence, memoranda, agreements or other documents or records which the
20commissioner department deems relevant or material to the inquiry. Failure to obey
21a subpoena or give evidence may be dealt with under s. 885.12.
AB150, s. 6853
22Section
6853. 553.55 (3) (a) of the statutes is amended to read:
AB150,2223,823
553.55
(3) (a) No person is excused from attending and testifying or from
24producing any document or record before the
commissioner department, or in
25obedience to the subpoena of the
commissioner department or any officer designated
1by the
commissioner department, or in any proceeding instituted by the
2commissioner department, on the ground that the testimony or evidence required of
3the person may tend to incriminate the person or subject the person to a penalty or
4forfeiture. No individual may be prosecuted or subjected to any penalty or forfeiture
5for or on account of his or her testimony or evidence, after claiming his or her
6privilege against self-incrimination, except that the individual testifying is not
7exempt from prosecution and punishment for perjury or contempt committed in
8testifying.
AB150, s. 6854
9Section
6854. 553.56 (1) of the statutes is amended to read:
AB150,2223,1310
553.56
(1) Except as provided by sub. (2), no order may be entered by the
11commissioner department under s. 553.24, 553.28 or 553.53 (2) without appropriate
12prior notice to all interested parties, opportunity for hearing and written findings of
13fact and conclusions of law.
AB150, s. 6855
14Section
6855. 553.56 (2) of the statutes is amended to read:
AB150,2223,2315
553.56
(2) Within 30 days after the
commissioner department has issued an
16order summarily, an interested party may apply to the
commissioner department for
17a hearing in respect to any matters determined by the order. Within 10 days after
18an interested party files a written request with the
commissioner department for a
19hearing the matter shall be noticed for a hearing, and a hearing shall be held within
2060 days after notice unless extended by the
commissioner department for good cause.
21During the pendency of any hearing requested under this subsection, the order
22issued summarily shall remain in effect unless vacated or modified by the
23commissioner department.
AB150, s. 6856
24Section
6856. 553.56 (3) of the statutes is amended to read:
AB150,2224,6
1553.56
(3) After a hearing, the
commissioner department may issue a final
2order as appropriate. The final order may affirm, vacate or modify an order issued
3summarily in effect during the pendency of the hearing as appropriate, or may
4include such other sanctions as are provided for under s. 553.24 or 553.28. An order
5issued summarily against a party becomes a final order if the party fails to request
6a hearing under sub. (2) or if the party defaults after requesting a hearing.
AB150, s. 6857
7Section
6857. 553.56 (5) of the statutes is amended to read:
AB150,2224,118
553.56
(5) Orders and other official acts of the
commissioner department are
9subject to judicial review under ch. 227 but orders originally entered without a
10hearing under s. 553.24, 553.28 or 553.60 may be reviewed only if the party seeking
11review has requested a hearing within the time provided by sub. (2).
AB150, s. 6858
12Section
6858. 553.57 of the statutes is amended to read:
AB150,2224,17
13553.57 Enforcement of criminal penalties. The
commissioner department 14may refer such evidence as is available concerning any violation of this chapter or
15of any rule or order hereunder to the district attorney of the county in which the
16violation occurred, or to the attorney general, who may, with or without any
17reference, institute the appropriate criminal proceedings under this chapter.
AB150, s. 6859
18Section
6859. 553.58 (1) of the statutes is amended to read:
AB150,2225,619
553.58
(1) The
commissioner department may make, amend and rescind any
20rules, forms and orders that are necessary to carry out this chapter, including rules
21and forms governing registration statements, applications and reports, defining any
22terms, whether or not used in this chapter, insofar as the definitions are not
23inconsistent with this chapter. The
commissioner
department may define by rule
24false, fraudulent or deceptive practices in the offer and sale of franchises. The
25commissioner department may also adopt rules with regard to advertising utilized
1in connection with exempt sales under s. 553.22, 553.23 or 553.235 and which need
2not be filed under s. 553.53. For the purpose of rules and forms, the
commissioner 3department may classify franchises, persons and matters within the
commissioner's 4department's jurisdiction, and prescribe different requirements for different classes.
5Rules shall be made and published and all administrative procedures, including
6hearings under s. 553.56 and issuance of orders, shall be in accordance with ch. 227.
AB150, s. 6860
7Section
6860. 553.58 (2) of the statutes is amended to read:
AB150,2225,118
553.58
(2) No rule, form or order may be made, amended or rescinded unless
9the
commissioner department finds that the action is necessary or appropriate in the
10public interest or for the protection of investors. In adopting rules and forms the
11commissioner department may cooperate with official administrators of other states.
AB150, s. 6861
12Section
6861. 553.58 (3) of the statutes is amended to read:
AB150,2225,1913
553.58
(3) The
commissioner department may by rule or order prescribe the
14form and content of financial statements required under this chapter, the
15circumstances under which consolidated financial statements shall be filed, and
16whether any required financial statements shall be certified by independent or
17certified public accountants. All financial statements shall be prepared in
18accordance with generally accepted accounting practices unless otherwise permitted
19by rule or order.
AB150, s. 6862
20Section
6862. 553.58 (4) of the statutes is amended to read:
AB150,2225,2421
553.58
(4) No provision of this chapter imposing any liability applies to any act
22done or omitted in good faith in conformity with any rule, form or order of the
23commissioner department, notwithstanding that the rule, form or order may later
24be amended or rescinded or be determined to be invalid for any reason.
AB150, s. 6863
25Section
6863. 553.58 (5) of the statutes is amended to read:
AB150,2226,6
1553.58
(5) All orders shall take effect when made and filed or at such later time
2as the
commissioner department prescribes, and the
commissioner department 3shall, upon making and filing such order, forthwith deliver personally or by mail a
4copy thereof to every person to whom such order relates at the person's last-known
5address as it appears on the records of the
office of the commissioner department and
6that delivery shall constitute notice thereof.
AB150, s. 6864
7Section
6864. 553.60 of the statutes is amended to read:
AB150,2226,12
8553.60 (title)
Miscellaneous powers of the commissioner. The
9commissioner department may by order summarily prohibit offers or sales of a
10franchise subject to s. 553.21 (1) which are being or have been made in this state,
11unless the offer or sale of the franchise is registered or exempted from registration
12under this chapter.
AB150, s. 6865
13Section
6865. 553.605 (1) (a) (intro.) of the statutes is amended to read:
AB150,2226,1814
553.605
(1) (a) (intro.) The
commissioner department or any officer designated
15by the
commissioner department may impose an administrative assessment in the
16amount provided in par. (b) on any person who is subject to an order that is issued
17under s. 553.24, 553.28, 553.53, 553.58 (1) and (2) or 553.60 in any of the following
18circumstances:
AB150, s. 6866
19Section
6866. 553.605 (1) (a) 1. of the statutes is amended to read:
AB150,2226,2220
553.605
(1) (a) 1. Following a hearing under s. 553.56 if the notice delivered to
21all interested parties includes notice of the
commissioner's department's authority
22to impose an administrative assessment under this subsection.
AB150, s. 6867
23Section
6867. 553.605 (1) (c) of the statutes is amended to read:
AB150,2227,3
1553.605
(1) (c) The
commissioner department shall include any administrative
2assessment imposed under this subsection in the order issued under any of the
3sections referred to in par. (a) in the manner described in par. (a) 1. or 2.
AB150, s. 6868
4Section
6868. 553.605 (1) (d) of the statutes is amended to read:
AB150,2227,85
553.605
(1) (d) Upon the request of the
commissioner department of financial
6institutions, the department of justice may bring a civil action in the circuit court for
7Dane county to compel payment of any unpaid administrative assessment, unless
8payment of the administrative assessment is stayed under s. 227.54.
AB150, s. 6869
9Section
6869. 553.605 (2) of the statutes is amended to read:
AB150,2227,1810
553.605
(2) Investor education. All moneys collected from the administrative
11assessment under sub. (1) shall be credited to the appropriation under s.
20.185 (1)
12(h) 20.144 (1) (i). Subject to s.
20.185 (1) (h) 20.144 (1) (i), the
commissioner 13department shall use moneys credited to that appropriation to provide information
14to residents of this state about franchise investments to help investors and potential
15investors evaluate their investment decisions, protect themselves from false,
16fraudulent or deceptive practices in connection with the offer, sale or purchase of a
17franchise, be alert for false or misleading advertising or other harmful practices, and
18know their rights as investors.
AB150, s. 6870
19Section
6870. 553.71 (1) of the statutes is amended to read:
AB150,2227,2220
553.71
(1) This chapter shall be administered by the
commissioner of securities 21department of financial institutions and by the department of justice when
22exercising its authority under s. 553.54.
AB150, s. 6871
23Section
6871. 553.71 (2) of the statutes is amended to read:
AB150,2228,1024
553.71
(2) It is unlawful for the
commissioner department or any of the
25commissioner's department's officers or employes to use for personal benefit any
1information which is filed with or obtained by the
commissioner department and
2which is not generally available to the public. Nothing in this chapter authorizes the
3commissioner department or any of the
commissioner's department's officers or
4employes to disclose any confidential information except among themselves or to
5other securities administrators or regulatory authorities or when necessary or
6appropriate in a proceeding or investigation under this chapter. No provision of this
7chapter either creates or derogates from any privilege which exists at common law
8or otherwise when documentary or other evidence is sought under a subpoena
9directed to the
commissioner department or any of the
commissioner's department's 10officers or employes.
AB150, s. 6872
11Section
6872. 553.72 (intro.) of the statutes is amended to read:
AB150,2228,13
12553.72 Fees and expenses. (intro.) The
commissioner department shall
13charge and collect the fees fixed by this section.
AB150, s. 6873
14Section
6873. 553.72 (2) of the statutes is amended to read:
AB150,2228,1815
553.72
(2) The
commissioner department may by rule require the payment of
16prescribed fees for delinquent or materially deficient filings of information or
17documents required to be filed with the
commissioner
department under this
18chapter.
AB150, s. 6874
19Section
6874. 553.72 (3) of the statutes is amended to read:
AB150,2228,2320
553.72
(3) The expenses reasonably attributable to the examination of any
21matter arising under this chapter shall be charged to the applicant or registrant
22involved, but the expenses so charged shall not exceed such maximum amounts as
23the
commissioner department by rule prescribes.
AB150, s. 6875
24Section
6875. 553.73 of the statutes is amended to read:
AB150,2229,19
1553.73 Service of process. When any person, including any nonresident of
2this state, engages in conduct prohibited or made actionable by this chapter or any
3rule or order under this chapter, whether or not the person has filed a consent to
4service of process under s. 553.27 (10), and personal jurisdiction over the person
5cannot otherwise be obtained in this state, that conduct shall be considered
6equivalent to the person's appointment of the
commissioner or the commissioner's
7successor in office department to be the person's attorney to receive service of any
8lawful process in any noncriminal suit, action or proceeding against the person or the
9person's successor, executor or administrator which grows out of that conduct and
10which is brought under this law or any rule or order under this chapter, with the
11same force and validity as if served on the person personally. Service may be made
12by leaving a copy of the process
in at the office of the
commissioner department, but
13it is not effective unless the plaintiff, who may be the
commissioner department in
14a suit, action or proceeding instituted by the
commissioner
department, forthwith
15sends notice of the service and a copy of the process by registered or certified mail to
16the defendant or respondent at his or her last-known address or takes other steps
17which are reasonably calculated to give actual notice, and the plaintiff's affidavit of
18compliance with this section is filed in the case on or before the return day of the
19process, if any, or within such further time as the court allows.
AB150, s. 6876
20Section
6876. 553.74 (1) of the statutes is amended to read:
AB150,2230,921
553.74
(1) All applications, reports and other papers and documents filed with
22the
commissioner department under this chapter shall be open to public inspection
23in accordance with rules adopted by the
commissioner
department. The
24commissioner department may publish any information filed with or obtained by the
25commissioner department, if, in the judgment of the
commissione
r
department, such
1action is in the public interest. No provision of this chapter authorizes the
2commissioner department or any of the
commissioner's assistants, clerks or deputies 3department's employes to disclose any information withheld from public inspection
4except among themselves or when necessary or appropriate in a proceeding or
5investigation under this chapter or to other federal or state regulatory agencies. No
6provision of this chapter either creates or derogates from any privilege which exists
7at common law or otherwise when documentary or other evidence is sought under
8a subpoena directed to the
commissioner department or any of the
commissioner's
9assistants, clerks or deputies department's employes.
AB150, s. 6877
10Section
6877. 553.74 (2) of the statutes is amended to read:
AB150,2230,1411
553.74
(2) It is unlawful for the
commissioner department or any of the
12commissioner's assistants, clerks or deputies or
department's employes to use for
13personal benefit any information which is filed with or obtained by the
commissioner
14department and which is not then generally available to the public.
AB150, s. 6878
15Section
6878. 553.75 (1) of the statutes is amended to read:
AB150,2230,1716
553.75
(1) A document is filed when it is received by the
commissioner 17department.
AB150, s. 6879
18Section
6879. 553.75 (2) of the statutes is amended to read:
AB150,2230,2219
553.75
(2) The
commissioner department shall keep a register of all filings
20which are or have ever been effective under this chapter and predecessor laws and
21all denial, suspension or revocation orders which have been entered under this
22chapter. The register shall be open for public inspection.
AB150, s. 6880
23Section
6880. 553.75 (3) of the statutes is amended to read:
AB150,2231,3
1553.75
(3) The information contained in or filed with any registration
2statement, application or report shall be made available to the public in accordance
3with rules adopted by the
commissioner department.
AB150, s. 6881
4Section
6881. 553.75 (4) of the statutes is amended to read:
AB150,2231,105
553.75
(4) The
commissioner department upon request shall furnish to any
6person at a reasonable charge photostatic or other copies, certified
under the
7commissioner's seal of office, by the department if certification is requested, of any
8entry in the register or any order or other document on file
in the commissioner's
9office with the department. Any copy so certified is admissible in evidence under s.
10889.18.
AB150, s. 6882
11Section
6882. 553.75 (5) of the statutes is amended to read:
AB150,2231,1312
553.75
(5) The
commissioner department may honor requests from interested
13persons for interpretative opinions.
AB150, s. 6883
14Section
6883. 553.78 of the statutes is amended to read:
AB150,2231,20
15553.78 Preemption. This chapter shall not preempt the administration of ch.
1696, 100, 125, 133, 168 or 218. False, fraudulent and deceptive practices in connection
17with the offer, purchase or sale of a franchise defined by rule of the
commissioner 18department under s. 553.58 (1) may also constitute unfair methods of competition in
19business or unfair trade practices in business under s. 100.20 (1) or fraudulent
20advertising under s. 100.18.
AB150, s. 6884
21Section
6884. 560.01 (1) of the statutes is amended to read:
AB150,2232,1522
560.01
(1) Purposes. The functions of the department are of an advocacy,
23regulatory, consultative, advisory, informational, coordinative and promotional
24nature. Through research, planning, consultation and through promotion of the
25development and maximum wise use of the natural and human resources of the
1state, it shall foster the growth and diversification of the economy of the state. It
2shall serve as the central agency and clearinghouse for developmental activities
3concerning the economy of the state. It shall make recommendations to the governor
4for the purpose of guiding a coordinated and economically efficient development of
5the state and shall seek closer cooperation and coordination between units of state
6government, educational institutions, local governments, local planning agencies,
7including regional planning commissions, and business and industry to foster and
8encourage a pattern of community development and of state-local and business
9relationships so that the economy of the state may continue to develop fully and meet
10citizen and community needs. It shall make continuing studies of the problems
11affecting economic and community development and recommendations for relieving
12those problems, and function in any other reasonable manner that will accomplish
13the stated purposes of this chapter. The department may also coordinate training
14for local government officials provided by state agencies including, but not limited
15to, the university of Wisconsin-extension and the technical college system.
AB150, s. 6885
16Section
6885. 560.01 (2) of the statutes is renumbered 560.01 (2) (a).
AB150, s. 6886
17Section
6886. 560.01 (2) (a) (title) of the statutes is created to read:
AB150,2232,1818
560.01
(2) (a) (title)
State economic policy.
AB150, s. 6887
19Section
6887. 560.01 (2) (b) of the statutes is created to read:
AB150,2232,2320
560.01
(2) (b)
Regulation of industry, buildings and safety. The department
21shall administer and enforce laws regulating industry, safety and buildings under
22chs. 101, 107, 145 and 168 and ss. 32.19 to 32.27, 167.10, 167.11 and 167.27 and as
23otherwise provided by statute.
AB150, s. 6888
24Section
6888. 560.07 (3) (b) of the statutes is amended to read:
AB150,2233,7
1560.07
(3) (b)
Contract
Before July 1, 1996, contract with Forward Wisconsin,
2inc., if the secretary determines it appropriate, to pay Forward Wisconsin, inc., an
3amount not to exceed the amount appropriated under s. 20.143 (1) (bm),
1993 stats.,
4to establish and implement a nationwide business development promotion campaign
5to attract persons interested in locating new enterprises in this state and to
6encourage the retention and expansion of businesses and jobs in this state. Funds
7may be expended to carry out the contract only as provided in s. 16.501.
AB150, s. 6889
8Section
6889. 560.07 (9) of the statutes is amended to read:
AB150,2233,139
560.07
(9) On or before July 1, 1985, and every July 1 thereafter,
ending with
10July 1, 1997, submit to the chief clerk of each house of the legislature, for distribution
11to the appropriate standing committees under s. 13.172 (3), a report stating the net
12jobs gain due to the funds provided Forward Wisconsin, inc., under s. 20.143 (1) (bm)
,
131993 stats.