<section article="gbr" article_name="Business Regulation" number="16.9-101" title_number="16.9" title_name="Out-of-State Sales of Premium Cigars and Pipe Tobacco" subtitle_number="1" subtitle_name="Definitions; General Provisions"> <level label="a"> <text>In this title the following words have the meanings indicated.</text> </level> <level label="b"> <text>“Executive Director” means the Executive Director of the Alcohol and Tobacco Commission.</text> </level> <level label="c"> <text>“License” means a remote tobacco seller license issued by the Executive Director under Subtitle 2 of this title.</text> </level> <level label="d"> <text>“Pipe tobacco” has the meaning stated in § 16.5–101 of this article.</text> </level> <level label="e"> <text>“Premium cigars” has the meaning stated in § 16.5–101 of this article.</text> </level> <level label="f"> <text>“Remote tobacco seller” means the holder of a remote tobacco seller license issued under this title.</text> </level> <level label="g"> <text>“Sell” means to exchange or transfer, or to agree to exchange or transfer, title or possession of property, in any manner or by any means, for consideration.</text> </level> </section> <section article="gbr" article_name="Business Regulation" number="16.9-102" title_number="16.9" title_name="Out-of-State Sales of Premium Cigars and Pipe Tobacco" subtitle_number="1" subtitle_name="Definitions; General Provisions"> <text>The Executive Director may delegate any power or duty of the Executive Director.</text> </section> <section article="gbr" article_name="Business Regulation" number="16.9-103" title_number="16.9" title_name="Out-of-State Sales of Premium Cigars and Pipe Tobacco" subtitle_number="1" subtitle_name="Definitions; General Provisions"> <text>This title applies only to a person located outside the State when selling premium cigars or pipe tobacco to a consumer in the State.</text> </section> <section article="gbr" article_name="Business Regulation" number="16.9-201" title_number="16.9" title_name="Out-of-State Sales of Premium Cigars and Pipe Tobacco" subtitle_number="2" subtitle_name="Remote Tobacco Seller Licenses"> <level label="a"> <text>A person located outside the State must have a remote tobacco seller license before the person may sell premium cigars or pipe tobacco to a consumer in the State.</text> </level> <level label="b"> <text>A remote tobacco seller license authorizes the licensee to sell premium cigars and pipe tobacco through a common carrier or private delivery service to a consumer in the State by receiving and filling orders that the consumer transmits by electronic or other means.</text> </level> </section> <section article="gbr" article_name="Business Regulation" number="16.9-202" title_number="16.9" title_name="Out-of-State Sales of Premium Cigars and Pipe Tobacco" subtitle_number="2" subtitle_name="Remote Tobacco Seller Licenses"> <text>An applicant for a remote tobacco seller license shall:</text> <level label="1"> <text>identify the premium cigars and pipe tobacco that the remote tobacco seller intends to sell and ship into the State;</text> </level> <level label="2"> <text>utilize third–party age verification for purchases and deliveries; and</text> </level> <level label="3"> <text>consent to being subject to the tobacco tax under Title 12 of the Tax – General Article.</text> </level> </section> <section article="gbr" article_name="Business Regulation" number="16.9-203" title_number="16.9" title_name="Out-of-State Sales of Premium Cigars and Pipe Tobacco" subtitle_number="2" subtitle_name="Remote Tobacco Seller Licenses"> <level label="a"> <text>An applicant for a remote tobacco seller license shall:</text> <level label="1"> <text>submit an application to the Executive Director on the form and containing the information that the Executive Director requires; and</text> </level> <level label="2"> <text>pay to the Executive Director a fee of:</text> <level label="i"> <text>$25; or</text> </level> <level label="ii"> <text>an amount set by regulation.</text> </level> </level> </level> <level label="b"> <text>If a person has had a license revoked under § 16.9–207 of this subtitle, the person may not reapply for a license within 1 year after the date when the prior license was revoked.</text> </level> </section> <section article="gbr" article_name="Business Regulation" number="16.9-204" title_number="16.9" title_name="Out-of-State Sales of Premium Cigars and Pipe Tobacco" subtitle_number="2" subtitle_name="Remote Tobacco Seller Licenses"> <text>The Executive Director shall issue a remote tobacco seller license to each applicant who meets the requirements of this subtitle for a license to act as a remote tobacco seller.</text> </section> <section article="gbr" article_name="Business Regulation" number="16.9-205" title_number="16.9" title_name="Out-of-State Sales of Premium Cigars and Pipe Tobacco" subtitle_number="2" subtitle_name="Remote Tobacco Seller Licenses"> <level label="a"> <text>Unless a license is renewed for a 1–year term as provided in this section, the license expires on the first June 30 after its effective date.</text> </level> <level label="b"> <text>At least 1 month before a license issued under this subtitle expires, the issuing official shall mail to the licensee, at the last known address of the licensee, a renewal notice that states:</text> <level label="1"> <text>the date on which the current license expires; and</text> </level> <level label="2"> <text>the date by which the issuing official must receive the renewal application for the renewal to be issued and mailed before the license expires.</text> </level> </level> <level label="c"> <text>Before a license issued under this subtitle expires, the licensee may renew it for an additional 1–year term, if the licensee:</text> <level label="1"> <text>otherwise is entitled to be licensed;</text> </level> <level label="2"> <text>submits to the issuing official a renewal application on the form that the issuing official requires; and</text> </level> <level label="3"> <text>pays to the issuing official the license fee required under § 16.9–203 of this subtitle.</text> </level> </level> <level label="d"> <text>The issuing official shall renew the license of each licensee who meets the requirements of this section.</text> </level> </section> <section article="gbr" article_name="Business Regulation" number="16.9-206" title_number="16.9" title_name="Out-of-State Sales of Premium Cigars and Pipe Tobacco" subtitle_number="2" subtitle_name="Remote Tobacco Seller Licenses"> <text>A remote tobacco seller licensee may not assign the license.</text> </section> <section article="gbr" article_name="Business Regulation" number="16.9-207" title_number="16.9" title_name="Out-of-State Sales of Premium Cigars and Pipe Tobacco" subtitle_number="2" subtitle_name="Remote Tobacco Seller Licenses"> <level label="a"> <text>Subject to the hearing provisions of § 16.9–208 of this subtitle, the Executive Director may deny a license to an applicant, reprimand a licensee, or revoke a license if the applicant or licensee:</text> <level label="1"> <text>fraudulently or deceptively obtains or attempts to obtain a license for the applicant or licensee or for another person;</text> </level> <level label="2"> <text>fraudulently or deceptively uses a license;</text> </level> <level label="3"> <text>is convicted, under the laws of the United States or of any other state, of:</text> <level label="i"> <text>a felony; or</text> </level> <level label="ii"> <text>a misdemeanor that is a crime of moral turpitude and is directly related to the fitness and qualification of the applicant or licensee;</text> </level> </level> <level label="4"> <text>is convicted of a violation under § 10–107 of the Criminal Law Article;</text> </level> <level label="5"> <text>violates Title 12 of the Tax – General Article or regulations adopted under that title;</text> </level> <level label="6"> <text>fails to utilize third–party age verification for purchases and deliveries; or</text> </level> <level label="7"> <text>violates this title or regulations adopted under this title.</text> </level> </level> <level label="b"> <text>Subject to the hearing provisions of § 16.9–208 of this subtitle, the Executive Director shall deny a license to any applicant who has had a license revoked under this section until:</text> <level label="1"> <text>1 year has passed since the license was revoked; and</text> </level> <level label="2"> <text>it satisfactorily appears to the Executive Director that the applicant will comply with this title and any regulations adopted under this title.</text> </level> </level> <level label="c"> <text>Before the issuance or renewal of any license, the Executive Director shall conduct an investigation with regard to:</text> <level label="1"> <text>the applicant;</text> </level> <level label="2"> <text>the business to be operated; and</text> </level> <level label="3"> <text>the facts set forth in the application.</text> </level> </level> </section> <section article="gbr" article_name="Business Regulation" number="16.9-208" title_number="16.9" title_name="Out-of-State Sales of Premium Cigars and Pipe Tobacco" subtitle_number="2" subtitle_name="Remote Tobacco Seller Licenses"> <level label="a"> <text>Except as otherwise provided in § 10–226 of the State Government Article, before the Executive Director takes any final action under § 16.9–207 of this subtitle, the Executive Director shall give the person against whom the action is contemplated an opportunity for a hearing before the Executive Director.</text> </level> <level label="b"> <text>The Executive Director shall give notice and hold the hearing in accordance with Title 10, Subtitle 2 of the State Government Article.</text> </level> <level label="c"> <text>The Executive Director may administer oaths in a proceeding under this section.</text> </level> <level label="d"> <text>The person against whom the action is contemplated may be represented at the hearing by counsel.</text> </level> <level label="e"> <text>If, after due notice, the person against whom the action is contemplated does not appear, nevertheless the Executive Director may hear and determine the matter.</text> </level> </section> <section article="gbr" article_name="Business Regulation" number="16.9-209" title_number="16.9" title_name="Out-of-State Sales of Premium Cigars and Pipe Tobacco" subtitle_number="2" subtitle_name="Remote Tobacco Seller Licenses"> <level label="a"> <text>Subject to the notice requirement under subsection (b) of this section, the Executive Director may revoke a license if a licensee:</text> <level label="1"> <text>engages in an act or omission that is a ground for discipline under § 16.9–207(a) of this subtitle; or</text> </level> <level label="2"> <text>violates this title or Title 12 of the Tax – General Article or regulations adopted under these titles.</text> </level> </level> <level label="b"> <text>If a license is revoked under this section:</text> <level label="1"> <text>the Executive Director shall give the licensee notice of the revocation; and</text> </level> <level label="2"> <text>the revocation may not take effect until at least 5 business days following notice of the revocation.</text> </level> </level> <level label="c"> <text>The renewal or expiration of a license will not bar or abate a disciplinary action under this section.</text> </level> <level label="d"> <level label="1"> <text>Except for a violation of § 10–107 of the Criminal Law Article, whenever any license issued under the provisions of this subtitle is revoked by the Executive Director, the licensee may, before the effective date of the revocation, petition the Executive Director for permission to make an offer of compromise consisting of a sum of money in lieu of serving the revocation.</text> </level> <level label="2"> <text>Money paid in lieu of revocation shall be paid into the General Fund of the State.</text> </level> <level label="3"> <text>An offer of compromise may not exceed an amount set by regulation.</text> </level> <level label="4"> <text>The Executive Director may accept the offer of compromise if:</text> <level label="i"> <text>the public welfare and morals would not be impaired by allowing the licensee to operate during the period set for the revocation; and</text> </level> <level label="ii"> <text>the payment of the sum of money will achieve the desired disciplinary purposes.</text> </level> </level> <level label="5"> <text>The Executive Director shall adopt regulations to carry out this subsection.</text> </level> </level> </section> <section article="gbr" article_name="Business Regulation" number="16.9-210" title_number="16.9" title_name="Out-of-State Sales of Premium Cigars and Pipe Tobacco" subtitle_number="2" subtitle_name="Remote Tobacco Seller Licenses"> <text>A party to a proceeding before the Executive Director who is aggrieved by a final decision of the Executive Director in a contested case, as defined in § 10–202 of the State Government Article, is entitled to judicial review as provided in §§ 10–222 and 10–223 of the State Government Article.</text> </section> <section article="gbr" article_name="Business Regulation" number="16.9-211" title_number="16.9" title_name="Out-of-State Sales of Premium Cigars and Pipe Tobacco" subtitle_number="2" subtitle_name="Remote Tobacco Seller Licenses"> <level label="a"> <text>A person may not act, attempt to act, or offer to act as a licensed remote tobacco seller unless the person has an appropriate license.</text> </level> <level label="b"> <level label="1"> <text>A person who violates this section is guilty of a misdemeanor and on conviction is subject to a fine not exceeding $1,000 or imprisonment not exceeding 30 days or both.</text> </level> <level label="2"> <text>Each day that a violation of this section continues is a separate offense.</text> </level> </level> </section> <section article="gbr" article_name="Business Regulation" number="16.9-212" title_number="16.9" title_name="Out-of-State Sales of Premium Cigars and Pipe Tobacco" subtitle_number="2" subtitle_name="Remote Tobacco Seller Licenses"> <level label="a"> <text>The Executive Director shall pay into the General Fund of the State all license fees collected under this title.</text> </level> <level label="b"> <text>The General Assembly intends that these license fees be used to administer this title.</text> </level> </section> <section article="gbr" article_name="Business Regulation" number="16.9-213" title_number="16.9" title_name="Out-of-State Sales of Premium Cigars and Pipe Tobacco" subtitle_number="2" subtitle_name="Remote Tobacco Seller Licenses"> <level label="a"> <text>The Executive Director shall adopt regulations to implement this title.</text> </level> <level label="b"> <text>The regulations adopted under subsection (a) of this section shall include:</text> <level label="1"> <text>minimum standards for third–party age verification services a remote tobacco seller is required to use; and</text> </level> <level label="2"> <text>minimum standards for the types of delivery services a remote tobacco seller is authorized to use.</text> </level> </level> </section> <section article="gbr" article_name="Business Regulation" number="16.9-214" title_number="16.9" title_name="Out-of-State Sales of Premium Cigars and Pipe Tobacco" subtitle_number="2" subtitle_name="Remote Tobacco Seller Licenses"> <text>Unless otherwise specified in this title, a person who violates any provision of this title is guilty of a misdemeanor and on conviction is subject to a fine not exceeding $1,000 or imprisonment not exceeding 30 days or both.</text> </section>