When the commissioner believes that a person has engaged in an unfair method of competition or an unfair trade practice, before issuing a cease and desist order, the commissioner must:

When the commissioner suspects that a person has engaged in an unfair method of competition or an unfair trade practice, the requirement to hold a hearing is crucial for ensuring due process. This provision offers the accused party an opportunity to present their case, provide evidence, and defend against the allegations before any formal action, such as a cease and desist order, is taken.

Holding a hearing allows for a transparent process where all relevant facts are considered. This approach upholds the principles of fairness and justice within regulatory practices. Before making a potentially damaging decision, the commissioner must gather and review all pertinent information, which is typically accomplished through a formal hearing where witnesses may be called, and testimony collected.

This procedure not only helps to protect the rights of individuals and businesses but also aids the commissioner in making informed decisions based on comprehensive evidence rather than assumptions or incomplete information. The necessary legal framework emphasizes this step as part of the regulatory process.