An individual shall register with the Office before: engaging in the operation of a cemetery in this State; or providing burial goods in this State.

In order to register, an applicant shall meet the requirements of this section. The applicant must be at least 18 years old. The applicant must be of good character and reputation. The applicant must be affiliated with a cemetery or burial goods business operated by a registrant or permit holder. The cemetery or burial goods business with which the applicant is affiliated must be financially stable in accordance with § 5–304 of this subtitle.

An applicant shall register by: submitting to the Director an application on the form that the Director provides; and paying a nonrefundable application fee set by the Director. The application shall state: the name, date of birth, and residential address of the applicant; the name and fixed address of the affiliated cemetery or burial goods business; whether the cemetery or burial goods business with which the applicant is affiliated is owned or controlled by a sole proprietor, partnership, limited liability company, or corporation; if the applicant is designated as the responsible party, the name and residential address of each employee who sells burial space, goods, or services to the public for the business while engaging in the operation of a cemetery or burial goods business; and any other reasonable information that the Director determines is necessary to carry out this title.

Each applicant designated as the responsible party shall demonstrate the financial stability of the business with which the applicant is affiliated by providing the Director with a financial statement or other reports required under subsection (e) of this section with the application for registration. If the business is a cemetery that sells burial goods and is an existing business, the financial statement shall: be on the form that the Director requires; contain a statement by a certified public accountant retained by the business, detailing the assets and liabilities of the cemetery for the last fiscal year; and contain a review by the certified public accountant as to the financial stability of the cemetery. If the business is an existing cemetery that does not sell burial goods or an existing burial goods business not affiliated with a cemetery, the applicant shall: complete a form that the Director requires; and satisfy criteria that the Director adopts under subsection (e) of this section. If the business is a new business, the applicant shall: complete a form that the Director requires; and satisfy criteria that the Director adopts under subsection (e) of this section. The Director shall make a determination of the financial stability of each applicant based on criteria that the Director adopts for each class of business. The Director shall adopt separate criteria to determine the financial stability of applicants that are new businesses or existing businesses. The Director shall require that all financial statements of a new cemetery submitted under subsection (d) of this section be prepared by a certified public accountant retained by the business.

The Director shall issue a registration to an applicant who meets the requirements of this title. A registration issued by the Director under this title: may not be transferred from one individual to another; but may be transferred for the same individual from one cemetery to another.

While a registration is in effect, it authorizes the registrant to engage in the operation of a cemetery or burial goods business. This title does not limit the right of a person to practice funeral direction or mortuary science if the person is licensed or otherwise authorized under Title 7 of the Health Occupations Article.

Unless a registration or permit is renewed as provided in this section, the registration or permit expires on the second anniversary of its effective date. At least 90 days before a registration or permit expires, the Director shall mail or electronically transmit to the registrant or permit holder: a renewal application form; and a notice that states: the date on which the current registration or permit expires; and the amount of the renewal fee. If an electronic transmission under paragraph (1) of this subsection is returned to the Director as undeliverable, the Director shall mail to the registrant or permit holder, at the last known address of the registrant or permit holder, the materials required under paragraph (1) of this subsection within 10 business days of the date the Director received the notice that the electronic transmission was undeliverable. Before a registration or permit expires, the registrant or permit holder periodically may renew it for an additional 2-year term, if the registrant or permit holder: is otherwise entitled to be registered or to receive a permit; meets the qualifications set forth for an original registration or permit; pays the renewal fee set by the Director; and submits to the Director a renewal application on the form that the Director provides. The Director shall renew the registration or permit of each registrant or permit holder who meets the requirements of this section.

Within 1 week after the effective date of the change, the applicant designated as the responsible party or the registered responsible party shall submit to the Director an application form that shows a change in the: cemetery or burial goods business with which a registrant is affiliated; individual designated as the responsible party; employees of the business who engage in the sale of burial space, goods, or services to the public; officers, directors, members, or agents of the permit holder; or name or address of the registrant or permit holder.

Each registrant and permit holder shall display the registration or permit conspicuously at the business address of the registrant or permit holder.

Subject to the hearing provisions of § 5–312 of this subtitle, the Director may deny a registration or permit to an applicant, reprimand a person subject to the registration or permit provisions of this title, or suspend or revoke a registration or permit if an applicant, registrant, or permit holder, or an agent, employee, officer, director, or partner of the applicant, registrant, or permit holder: fraudulently or deceptively obtains or attempts to obtain a registration or permit; fraudulently or deceptively uses a registration or permit; under the laws of the United States or of any state, is convicted of a: felony; or misdemeanor that is directly related to the fitness and qualifications of the applicant, registrant, or permit holder to own or operate a cemetery or provide burial goods; fails to provide or misrepresents any information required to be provided under this title; violates this title; violates the code of ethics adopted by the Director; violates a regulation adopted under this title; fails to provide reasonable and adequate supervision of the operation of the cemetery or the provision of burial goods by agents, employees, officers, directors, or partners affiliated with a cemetery or burial goods business; refuses to allow an inspection required by this title; fails to comply with an order of the Director; fails to comply with any terms of settlement under a binding arbitration agreement; is found guilty by a court in this State of violating an unfair, abusive, or deceptive trade practices provision under Title 13 of the Commercial Law Article; or fails to comply with § 5–513 of the Health – General Article. If a person is charged with a violation of this title that could result in suspension or revocation of a registration or permit, the Director may seek an immediate restraining order in a circuit court in this State to prohibit the person from engaging in the operation of any cemetery or burial goods business. The restraining order is in effect until: the court lifts the order; or the charges are adjudicated or dismissed. If a person is charged with a violation of this title that could result in suspension or revocation of a registration or permit, the Director may petition a court to: appoint a receiver or trustee to take charge of the assets and operate the business of the person in the event that the registration or permit is suspended or revoked; and take any actions as are appropriate to protect the public interest. Instead of or in addition to reprimanding a person, or suspending or revoking a registration or permit, the Director may impose a civil penalty: not to exceed $5,000 for each violation of this title or an order of the Director under this title; and not to exceed $500 for each day a violation continues past the time set for its correction. To determine the amount of the penalty imposed under this subsection, the Director shall consider: the seriousness of the violation; the harm caused by the violation; the good faith efforts of the person; and any history of previous violations by the person. Any civil penalties collected under this section shall be paid into the General Fund of the State. The Director shall consider the following facts in the granting, denial, renewal, suspension, or revocation of a registration or permit or the reprimand of a registrant or permit holder when an applicant, registrant, or permit holder, or an agent, employee, officer, director, or partner of an applicant, registrant, or permit holder is convicted of a felony or misdemeanor described in subsection (a)(3) of this section: the nature of the crime; the relationship of the crime to the activities authorized by this title; with respect to a felony, the relevance of the conviction to the fitness and qualifications of the applicant, registrant, or permit holder, or agent, employee, officer, director, or partner to operate a cemetery or provide burial goods; the length of time since the conviction; and the behavior and activities of the applicant, registrant, or permit holder, or any agent, employee, officer, director, or partner before and after the conviction.

Subject to the provisions of this section, the Director or the Director’s designee shall commence proceedings on a complaint made by any person to the Director. A complaint shall: be in writing; state specifically the facts on which the complaint is based; and be made under oath by the person who submits the complaint. The Director or the Director’s designee shall review each complaint and shall attempt to negotiate a settlement of the complaint between the complainant and the registrant, permit holder, or any other person subject to the registration or permit provisions of this title. Notwithstanding § 5–102 of this title, the Director or the Director’s designee may receive and attempt to negotiate a settlement to resolve complaints concerning persons required to file statements under § 5–405 of this title and in connection with the operation of a cemetery or the sale of preneed goods. The Director may not take any actions described in subsection (d)(1) and (2) of this section for complaints involving persons exempt under § 5–102 of this title. If the Director or the Director’s designee is unable to negotiate a settlement of the complaint, the Director may: at the request of either party, refer the complaint to the Office of the Attorney General or the Office of Administrative Hearings for binding arbitration, if both parties agree to binding arbitration; initiate an investigation; or dismiss the complaint. If, after investigation, the Director determines that there is a reasonable basis to believe that there are grounds for disciplinary action under § 5–310 of this subtitle, the Director shall provide the person against whom the action is contemplated notice and an opportunity for a hearing under § 5–312 of this subtitle. If, after investigation, the Director determines that there is not a reasonable basis to believe that there are grounds for disciplinary action, the Director shall dismiss the complaint. Any party aggrieved by the dismissal may take a judicial appeal in accordance with the provisions of Title 10 of the State Government Article. Once a complaint has been referred for binding arbitration, the registrant, permit holder, or any other person subject to the registration or permit provisions of this title shall comply with the terms of the settlement. The Director shall adopt guidelines that establish a schedule for the prompt and timely processing and resolution of each complaint made to the Director. Beginning December 31, 1998, and on or before December 31 of each year thereafter, the Director shall report, subject to § 2–1257 of the State Government Article, to the General Assembly on: the number of complaints resolved within the schedule adopted under paragraph (1) of this subsection; the number of complaints and the number of inquiries received under subsection (c)(2) of this section by the type of registrant, permit holder, or exemption from the registration and permit requirements of this title; the number of complaints and the number of inquiries received under subsection (c)(2) of this section by persons subject to, but not in compliance with, the registration and permit requirements of this title; the nature of complaints and inquiries received under subsection (c)(2) of this section, including whether complaints are related to the illegal recycling of graves; the type of purchase, focus of dissatisfaction, and type of resolution for both complaints and inquiries; whether complaints reported under item (i) of this paragraph were resolved through negotiation, binding arbitration, or another method; and any disciplinary or enforcement actions taken against a registrant, permit holder, or a person subject to, but not in compliance with, the registration and permit requirements of this title. The Director shall provide a copy of the annual report required under paragraph (2) of this subsection to each member of the Advisory Council.

Except as otherwise provided in § 10-226 of the State Government Article, before the Director takes a final action under this subtitle, the Director shall provide the person against whom the action is contemplated notice of the Director’s proposed action and the opportunity to request a hearing before the Director. A person shall file a request for a hearing not later than 30 days after the date the notice provided under paragraph (1) of this subsection is mailed. The Director shall provide notice and conduct the hearing in accordance with Title 10, Subtitle 2 of the State Government Article. The Director may administer oaths in connection with a proceeding under this section. The hearing notice provided to the person under subsection (a)(1) of this section shall be sent by certified mail to the last known address of the person at least 10 days before the hearing. If a hearing is not requested within the time period specified under subsection (a)(2) of this section or if the person fails to appear for the hearing after requesting a hearing, the proposed action of the Director shall be affirmed. The person may be represented at the hearing by counsel. The Director may issue subpoenas in connection with a proceeding under this section. If a person fails to comply with a subpoena issued under this subsection, on petition of the Director, a circuit court may compel compliance with the subpoena. If, after a hearing, the proposed action by the Director is upheld, the appellant shall pay the hearing costs, as specified by the Office in its regulations.