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DTE, Consumers sue to block ‘money out of politics’ proposal approved by voters

November 6, 2026

Michigan's two largest utility companies, DTE Energy and Consumers Energy, filed a federal lawsuit challenging Proposal 2, a ballot measure that over 80% of voters approved just two days earlier. The proposal prohibits utilities and companies with large state contracts from making political contributions, extending the ban to company executives, board members, their family members, and associated individuals. The utilities claim these restrictions violate First Amendment free speech rights and Fourteenth Amendment protections, arguing the law is unconstitutionally vague and unfairly targets their industry while restricting political participation of employees and families.

Who is affected

  • DTE Energy and Consumers Energy (Michigan's largest utilities)
  • Company executives, board members, treasurers, CEOs, and presidents of affected companies
  • Immediate family members of utility officials (including an 86-year-old mother of DTE's treasurer cited as plaintiff)
  • People with substantial ownership in utilities
  • Companies with more than $250,000 in state government contracts
  • Michigan Bureau of Elections Director Jonathan Brater (defendant)
  • Attorney General Dana Nessel (defendant)
  • Governor-elect/Secretary of State Jocelyn Benson (defendant)
  • Michiganders for Money Out of Politics campaign
  • Michigan politicians and candidates

What action is being taken

  • DTE Energy and Consumers Energy are suing to stop implementation of Proposal 2
  • The utilities filed a complaint with the US District Court for the Western District of Michigan
  • The lawsuit seeks a court order barring enforcement by the state
  • The Mackinac Center for Public Policy has announced a legal challenge (filed Tuesday night)

Why it matters

  • This case represents a significant clash between voter-approved campaign finance reform and corporate constitutional rights. The outcome will determine whether states can impose broad restrictions on political contributions by utilities and their associates to combat corruption, or whether such measures violate fundamental free speech protections. With over 80% voter approval, the lawsuit tests the limits of corporate political participation and could set precedent for how aggressively states can regulate money in politics, particularly regarding industries that interact extensively with government regulators and hold monopolistic positions.

What's next

  • No explicit next steps stated in the article

Read full article from source: bridgedetroit.com