Section R. 338.1553 - Disposition of complaints; resolution or settlementRule 53.
(1) A complaint may be resolved or settled prior to a conference and the complaint may be closed by the department. If a complaint is resolved or settled by agreement, the licensee shall notify the department in writing thereof. The department shall then notify the complainant that it has received information that the complaint has been resolved or settled. If the complainant takes issue with the licensee's contention the department may investigate further. Resolution or settlement of a complaint shall not be construed as a waiver by the department of its statutory right to take disciplinary action.(2) The department may dismiss a complaint on its own motion if it determines that the complaint has been resolved, settled, is without merit, or that there is insufficient evidence of a violation of the act.(3) If the department, after investigation of a complaint, has reason to believe that a licensee is in violation of the statute or the rules, it may recommend to the director that a hearing be held to show cause why the license should not be suspended or revoked.Mich. Admin. Code R. 338.1553