# COMAR Title 02 — Office of the Attorney General ## Subtitle 01 — Consumer Protection Division ### Chapter 01 — Unit Pricing **Authority:** Commercial Law Article, §14-105, Annotated Code of Maryland **Administrative History:** Effective date: September 1, 1972 **Administrative History:** Chapter revised effective June 2, 1978 (5:11 Md. R. 880) #### Regulation .01 General. *COMAR 02.01.01.01* These regulations are promulgated pursuant to Commercial Law Article, §14-105, Annotated Code of Maryland. They are intended to effectuate the provisions of the Unit Pricing Law, §14-101 et seq., Annotated Code of Maryland, and are not intended to extend, modify, or conflict with the Unit Pricing Law or its reasonable implications. #### Regulation .02 Findings. *COMAR 02.01.01.02* A. The Consumer Protection Division of the Office of the Attorney General and the Consumer Council find that some of those sales agencies required to unit price have not done so properly or in conformance with the Unit Pricing Law. The increasing costs of consumer commodities mandates the continued attention of the Division to enforce the Unit Pricing Law, as the disclosure of unit pricing information gives consumers a method of price comparisons for similar or identical consumer commodities. Thus, the availability of properly disclosed unit pricing information will provide an effective tool for informed and economical consumer purchasing. B. The Division and the Council further find that the General Assembly has authorized the Division to promulgate regulations to effectuate the purpose of the Unit Pricing Law, and has given the Council the role of advising the Division on these regulations. The proposed regulations explain the requirements of the Unit Pricing Law, clarify the method of disclosure, and require meaningful consumer information necessary to effectuate the Law's purpose. Provisions are proposed to set forth the responsibilities of those sales agencies required to unit price to notify the Division if an exemption from compliance is requested or if non-intentional technical errors are discovered. #### Regulation .03 Definitions. *COMAR 02.01.01.03* A. “Control” means the possession, direct or indirect, of the power to direct, or cause the direction of, the management and policies of a person, whether through ownership of voting securities, by contract, or otherwise. B. “Inventory facility” means a physical location, separate and apart from the physical location of the sales agency, where consumer commodities are stored and subject to inventory accounting, and which thereafter are distributed to the physical location of the sales agency. C. “Members of the immediate family” mean the spouse, son, daughter, parent, brother, and sister of the individual owner. D. “Multi-unit packages” means packages intended for retail sale containing two or more identically packaged or labeled units of an identical commodity in the same quantity. E. “Non-intentional technical errors” means inaccuracies in the unit pricing information reflected upon stamps, tags, labels, signs, or lists where these defects have resulted from a malfunction of a printing press, electronic data processing equipment, or other mechanical equipment used to produce these stamps, tags, labels, signs, or lists, or from the mistake of a computer programmer or machine operator, when this malfunction or mistake was not within the knowledge or control of the owner, operator, or management personnel of the store and when this owner, operator, or management personnel could not, with reasonable diligence, have detected and corrected these errors. F. “Preceding calendar year” means the immediately preceding period, January 1 through December 31. G. “Sales agency” means any proprietorship, partnership, corporation, or other legal or commercial entity which sells or offers for sale at retail, those consumer commodities defined in the Commercial Law Article, §14-101(b), Annotated Code of Maryland (hereinafter, the “Unit Pricing Law”). H. “Variety packages” means packages intended for retail sale containing two or more identical packages or units of similar but not identical commodities. Commodities which are generally the same, but which differ in weight, volume, appearance, or quality are considered similar but not identical. Not included within this definition are items under Regulation .07A. #### Regulation .04 Exemptions. *COMAR 02.01.01.04* A. To determine whether it is exempt from compliance with the Unit Pricing Law, a sales agency shall refer to the exemptions found in Commercial Law Article, §14-102(6)(i)—(iv), Annotated Code of Maryland. B. A sales agency shall be given a reasonable time after the close of its fiscal year to calculate gross annual sales to determine whether it is exempt from the provisions of the Unit Pricing Law pursuant to §14-102(6)(i). For purposes of these regulations, any time in excess of 3 months shall be presumed to be unreasonable. If compliance is mandated, the sales agency shall be given 2 months to implement its unit pricing system. C. If the sales agency is found to be required to unit price, it shall comply with the Unit Pricing Law and these regulations no later than June 1 following the close of its fiscal year, if determined on a calendar year basis. If the sales agency's fiscal year is determined by any other method, compliance shall be required by no later than 150 days after the close of this fiscal year. #### Regulation .05 Direct Delivery. *COMAR 02.01.01.05* For purposes of §14-102(a)(5), items shall be considered to have been directly delivered when the items have not passed through any warehouse or inventory facility which is owned or controlled directly or indirectly by the sales agency. #### Regulation .06 Consumer Commodities to be Unit Priced. *COMAR 02.01.01.06* A. Section 14-103(a)(2)(ii) of the Unit Pricing Law defines the categories of consumer commodities required to be unit priced. Any of these commodities which are priced for multi-unit or variety package purchase shall be unit priced on the basis of the total contents. B. The unit price of any consumer commodity sold with a deposit for the container's return, shall be based on the price of the item's contents without regard to the amount of the deposit. The fact that there is a deposit, however, shall be clearly and conspicuously displayed on the product or its package or near the product. #### Regulation .07 Consumer Commodities not Required to be Unit Priced. *COMAR 02.01.01.07* The seller is not required to unit price the following: A. Those items specifically exempted by §14-102(a)(1)—(5); B. Items displayed in a non-packaged manner such as loose produce, fresh seafood, meats, and cheeses cut to order; C. Durable items, including any item which wears or deteriorates from usage, for example, kitchen utensils, pots and pans, and any other type of cooking or kitchen aids and household goods, such as brooms, fabric cleaning towels, and other durable goods. #### Regulation .08 Repricing Policy and Discounts from Regular Price. *COMAR 02.01.01.08* A. When the sales agency has established and clearly disclosed a no- repricing policy, whereby items on display are not repriced to reflect a higher price, the applicable unit price stamps, tags, labels, signs, or lists shall display the unit price of the higher price. B. When the manufacturer of a consumer commodity has offered a discount or cents off the price of items offered for sale by a sales agency, the unit price stamps, tags, labels, signs, or lists shall display the higher price. #### Regulation .09 Uniformity. *COMAR 02.01.01.09* A. If different brands of the same consumer commodity are expressed in more than one measuring unit, the sales agency, if it is possible to do so, shall unit price the items consistently within the same product category. The more familiar measuring unit found in the product group is to be used if conversion and uniformity are possible. B. When metric units appear on the consumer commodity, in addition to the other units of measure, the sales agency may use both units of measure on any stamps, tags, labels, signs, or lists. #### Regulation .10 Unit Pricing Information to be Disclosed on Items Conspicuous to the Consumer. *COMAR 02.01.01.10* A. Section 14-104(1) of the Unit Pricing Law provides for the method of disclosing the required unit pricing information. B. The unit pricing tags, stamps, or labels shall contain in easily readable and understandable print the price of the item, the unit price, the unit of measure, the name and size of the item, and the brand name if there is one. C. The tags, stamps, or labels need not be any special size, but shall be conspicuously visible to the consumer. #### Regulation .11 Unit Pricing Information to be Disclosed on Items Inconspicuous to the Consumer. *COMAR 02.01.01.11* A. Section 14-104(2) of the Unit Pricing Law provides for the method of disclosing the required unit pricing information on items inconspicuous to the consumer. B. The signs or lists shall contain in easily readable and understandable print the price of the item, the unit price, the unit of measure, the name and size of the item, and the brand name if there is one. #### Regulation .12 Additional Methods of Disclosure. *COMAR 02.01.01.12* If the consumer commodities are refrigerated, and attachment of stamps, tags, or labels is not practical, the sales agency shall disclose the required unit pricing information by signs or lists. These signs or lists shall be clear, conspicuous, and near the consumer commodities, and the information readily available to the consumer without need for the consumer to inquire of, or otherwise contact store personnel. #### Regulation .13 Additional Pricing Requirements. *COMAR 02.01.01.13* A. The unit price may be shown in type which is at least the size of “elite” type. However, this price shall be identified as the “unit price” or “price per (unit of measure).” B. The designation of the unit price per measure of 1 dollar or more shall be expressed in terms of dollars and cents. C. If the unit price is under 1 dollar, it shall be listed: (1) To the tenth of a cent (i.e., an item priced at 25.54 cents may read 25.5 cents or 25.5); or (2) To the whole cent. The sales agency shall accurately and consistently use the same method of rounding up or down to compute the price to the whole cent. D. The sales agency shall have the option of using §C(1) or (2) but may not implement both methods. #### Regulation .14 Non-intentional Technical Errors. *COMAR 02.01.01.14* A. If any errors are alleged by the Division which would subject the sales agency to the enforcement provisions of the Unit Pricing Law, the sales agency shall submit data which shows by the preponderance of the evidence that the errors are non-intentional technical errors. B. The data submitted to the Division may contain the following information: (1) Any specific malfunction of the printing press, electronic data processing equipment, or other mechanical equipment used to produce the stamps, tags, labels, signs, or lists; (2) Any specific mistake made by the computer programmer or machine operator; (3) Specific reasons why the malfunction or mistake was not within the knowledge or control of the owner, operator, or management personnel of the store; (4) Specific reasons why the owner, operator, or management personnel could not, within reasonable diligence, have detected or corrected these errors; (5) The name, address, and telephone number of the person or persons responsible for the alleged error; (6) Whether the sales agency had prior similar problems with the printing press, electronic data processing equipment, or other mechanical equipment responsible for the alleged error, and what action was taken by the sales agency to correct the malfunction; (7) Whether the sales agency had prior similar problems with the computer programmer or machine operator responsible for the alleged mistake and what action was taken by the sales agency to correct the mistake. C. The Division may not consider non-intentional technical errors to be violations of these regulations. #### Regulation .15 Exemptions from the Operation of the Unit Pricing Law. *COMAR 02.01.01.15* A. Under §14-105(a)(2), the Attorney General may exempt any sales agency which is using a program of unit pricing which is approximately as or more comprehensive than the program required by the Unit Pricing Law. The following procedures are to be followed by any sales agency requesting an exemption under Maryland law and these regulations: (1) A request shall be made in writing; (2) A request shall be supported by a detailed description of the plan being used; (3) An exemption requested shall be conditioned upon the sales agency agreeing to continue the plan without change, unless prior approval of the Consumer Protection Division is obtained; (4) A request shall be signed by the owner, partners, or corporate officers of the sales agency making the request. B. A sales agency which does business in more than one jurisdiction where unit pricing is required by statute, ordinance, rule, or regulation, may apply for exemption from Maryland law and these regulations if: (1) The system of unit pricing will be approximately as comprehensive as the program required by Maryland law; (2) The sales agency submits copies of the statute and the regulations of the other jurisdiction and agrees to conduct its unit pricing program in Maryland in the same manner that it conducts unit pricing in the other jurisdiction or jurisdictions; (3) The plan of unit pricing will not be confusing to Maryland consumers; and (4) The request for an exemption complies with conditions in §B(1)—(4) or A, of this regulation. C. No exemption provided for in §A or B, of this regulation, will be considered to have been granted until the Consumer Protection Division of the Office of the Attorney General has, in writing, advised the sales agency that it is exempt. #### Regulation .16 Compliance. *COMAR 02.01.01.16* A. The Unit Pricing Law requires 90 percent compliance, which may be based on either of the following, at the option of the sales agency: (1) Dollar volume of items required to be unit priced; (2) Number of items which the store carried which are required to be unit priced. B. Every sales agency shall advise the Office of the Attorney General, Division of Consumer Protection, of the option as provided in §A, of this regulation, which it has elected to use. A sales agency may not then change its option until it has notified the Division of Consumer Protection of the change and this office has acknowledged receipt of the change. ### Chapter 02 — Rules of Practice and Procedure—Cease and Desist Order Hearings **Authority:** State Government Article, §10-206(b);Commercial Law Article, §§13-204(12), 13-205(a), and 13-403; Annotated Code of Maryland **Administrative History:** Effective date: July 23, 1975 (2:16 Md. R. 1137) **Administrative History:** Regulations .01—.16 repealed and new Regulations .01—.24 adopted effective January 31, 2005 (32:2 Md. R. 145) **Administrative History:** Regulation .04C amended effective January 26, 2009 (36:2 Md. R. 99) **Administrative History:** Annotation: COMAR 02.01.02.12 and 02.01.02.14 cited in Consumer Protection Division v. Consumer Publishing Co., 304 Md. 731 (1985) #### Regulation .01 Scope. *COMAR 02.01.02.01* This chapter governs cease and desist order proceedings held under the authority of Commercial Law Article, §13-403, Annotated Code of Maryland. #### Regulation .02 Definitions. *COMAR 02.01.02.02* A. In this chapter, the following terms have the meanings indicated. B. Terms Defined. (1) Agency. (a) “Agency” means the Consumer Protection Division in its role as an administrative agency authorized to adjudicate contested cases under Commercial Law Article, §13-403, and State Government Article, §10-202(b), Annotated Code of Maryland. (b) “Agency” includes the Chief of the Consumer Protection Division, and any person to whom the Chief of the Consumer Protection Division has delegated the authority to issue the final administrative decision of the Agency in a contested case. (2) “Authorized representative” means an attorney or, if permitted by applicable law, a person designated by a party to represent the party. (3) “Chief” means: (a) The Chief of the Consumer Protection Division; or (b) A person designated by the Chief of the Consumer Protection Division not employed by the Office of Administrative Hearings. (4) “Chief Administrative Law Judge” means the Chief Administrative Law Judge of the Office of Administrative Hearings. (5) “Division” means the Consumer Protection Division of the Office of the Attorney General in its role as a party to a contested case. (6) “Judge” means an administrative law judge: (a) Appointed by the Chief Administrative Law Judge under State Government Article, §9-1604, Annotated Code of Maryland; or (b) Designated by the Chief Administrative Law Judge under State Government Article, §9-1607, Annotated Code of Maryland. (7) “Office” means the Office of Administrative Hearings. (8) “Party” means a person named or admitted to participate in a cease and desist order proceeding. (9) “Person” means an individual, corporation, business trust, estate, trust, partnership, association, two or more persons having a joint or common interest, or any other legal or commercial entity. #### Regulation .03 Petition for Hearing. *COMAR 02.01.02.03* A. Filing a Petition. (1) Any person may file a petition with the Agency. (2) The petition shall: (a) Be accompanied by a statement of charges; and (b) Show cause why a hearing on the matters raised should be granted. B. Review by the Agency. The Agency shall: (1) Review each petition; and (2) Determine whether to hold a hearing under Commercial Law Article, §13-403, Annotated Code of Maryland. C. Unless notice issued under Regulation .06 of this chapter states otherwise, the Division is the party proponent. #### Regulation .04 Delegation of Authority. *COMAR 02.01.02.04* A. To Whom Delegated. The Chief of the Consumer Protection Division shall: (1) Conduct the hearing; or (2) Delegate the hearing authority to: (a) The Office; or (b) With the prior approval of the Chief Administrative Law Judge, a person not employed by the Office. B. Scope of Authority Delegated. Unless the Agency notifies the parties of a different delegation, the authority delegated shall issue proposed findings of fact and proposed conclusions of law, but not recommend proposed relief. C. Delegation of Authority to Issue Final Administrative Decision. The Chief of the Consumer Protection Division may delegate the authority to issue the final administrative decision of the Agency. #### Regulation .05 Responsibility of Party Proponent. *COMAR 02.01.02.05* The party designated as the party proponent has the burden of proving the allegations by a preponderance of the evidence. #### Regulation .06 Notice. *COMAR 02.01.02.06* A. Type of Notice. (1) The Agency shall issue notice in compliance with State Government Article, §§10-207 and 10-208, Annotated Code of Maryland. (2) If a hearing date is required and has not been set, notice under State Government Article, §10-208(b)(1), Annotated Code of Maryland, shall be given once the hearing date has been set by the Agency or the Office, whichever is conducting the hearing. B. The party proponent shall serve each party with all documents required by and in compliance with Commercial Law Article, §13-403(a)(2), Annotated Code of Maryland, and State Government Article, §§10-207, 10-208, and 10-209, Annotated Code of Maryland. #### Regulation .07 Response. *COMAR 02.01.02.07* A. A respondent shall file a written response to the statement of charges. B. Time for Filing. (1) Unless the Agency has issued a cease and desist order under Commercial Law Article, §13-403(d) or 14-12B-08(a), Annotated Code of Maryland, without first conducting a hearing, the respondent shall file the response: (a) Within 20 days of service of the statement of charges; and (b) Within 20 days of service of an amended statement of charges if a respondent wishes to contest new facts or allegations introduced in the amended statement of charges. (2) If the Agency has issued a cease and desist order under Commercial Law Article, §13-403(d) or 14-12B-08(a), Annotated Code of Maryland, and if a hearing is requested, the respondent shall file the response with the request for hearing. C. Content. The respondent shall state in the response all affirmative and negative defenses, and shall: (1) Admit or deny each allegation in the statement of charges; (2) Generally deny all allegations in the statement of charges except for those allegations that are specifically admitted; or (3) State that the respondent is without knowledge or information sufficient to form a belief concerning the truth of any allegation, which statement has the effect of a denial. D. Effect of Failure to Deny. Unless denied in a timely-filed response, allegations are admitted. E. Effect of Failure to File Response. Failure to timely file a response may be grounds for issuance of a default order under Regulation .17 of this chapter. #### Regulation .08 Filing of Pleadings and Papers. *COMAR 02.01.02.08* After service on a respondent of notice issued pursuant to Regulation .06 of this chapter, a party shall file pleadings and papers with: A. The Agency, if the hearing is before the Chief; or B. The Office, if the hearing authority is delegated to the Office. #### Regulation .09 Service of Pleadings and Papers After Notice. *COMAR 02.01.02.09* A. A party shall serve pleadings and papers filed after notice issued pursuant to Regulation .06 of this chapter: (1) Upon each party's attorney; or (2) Upon the party if a party is not represented by counsel. B. A party shall make service by: (1) Delivery of a copy; (2) Mailing it to: (a) The address most recently stated in a pleading or paper filed by the attorney or party; or (b) To the last known address, if no address is stated on the most recent pleading or paper filed by the attorney or party; or (3) Any other method agreed upon by the parties. C. A party shall include in its pleadings a certificate of service showing the date and manner of making service. #### Regulation .10 Notice to Public. *COMAR 02.01.02.10* A. The Division shall prepare and send to at least six newspapers of general circulation in Maryland notice of every cease and desist action filed. B. The Division shall include in the notice: (1) A summary of the allegations; (2) The date and time the case is scheduled for hearing, if a hearing has been scheduled; and (3) A statement that hearings are open to the public. #### Regulation .11 Discovery. *COMAR 02.01.02.11* A. In hearings before the Chief, the parties are entitled to the following discovery: (1) By written request filed not later than 30 days before the scheduled hearing, a party may require any other party to produce within 15 days, for inspection or copying, any file, memorandum, correspondence, document, object, or tangible thing: (a) Relevant to the subject matter of the case; and (b) Not privileged; and (2) Unless provided by law or by agreement of the parties, no other discovery procedure may be required. B. In hearings delegated to the Office, the parties shall conduct any discovery pursuant to COMAR 28.02.01.13. #### Regulation .12 Hearing Subpoenas. *COMAR 02.01.02.12* A. Issuance of Hearing Subpoenas. On the request of a party in hearings before the Chief, or at the direction of the Chief, the Agency may issue subpoenas requiring the attendance and testimony of witnesses and the production at the hearing of any tangible items in the possession or under the control of the witness. B. Requests for Hearing Subpoenas. (1) A party requesting a subpoena shall make the request, in writing, to the Agency. (2) Unless cause is shown, a party shall file subpoena requests with the Agency at least 10 calendar days before the hearing. (3) A request for a subpoena shall specify the: (a) Name and full address of the person to be subpoenaed; and (b) Name, full address, and telephone number of the party requesting the subpoena. (4) A party requesting a subpoena for the production of tangible items, books, papers, or other documents shall describe those items with particularity. (5) A party need not serve a subpoena request on all parties. C. Service of Hearing Subpoenas. The party requesting the subpoena shall be responsible for serving the subpoena by: (1) Personal delivery by an individual 18 years old or older who is not a party to the proceeding; (2) Certified mail, return receipt requested, to the person at the address specified in the subpoena request; (3) Regular mail, if the subpoena is to a party; or (4) Any other method of service authorized by the Agency. D. Affidavit of Service. The person requesting the subpoena shall file an Affidavit with the Agency showing the date and manner of making service. E. Objections to Hearing Subpoenas. A person may object to a subpoena by filing a motion to quash or for other relief. F. Failure to Comply with Hearing Subpoenas. Upon a timely request by a party to the proceeding, the Agency may: (1) Seek an order from a circuit court to obtain compliance with the subpoena; (2) Enter an order imposing sanctions, including default, upon a party who fails to comply with a subpoena; and (3) Grant any other appropriate relief. #### Regulation .13 Prehearing Conferences. *COMAR 02.01.02.13* A. Hearings Before the Chief. (1) In hearings before the Chief, any prehearing conferences shall be conducted as provided in §A(2)—(7) of this regulation. (2) If appropriate, the Agency may hold a prehearing conference to resolve matters preliminary to the hearing. (3) The Agency may require the parties to submit information before the prehearing conference. (4) A prehearing conference may be convened to address the following matters: (a) Issuance of subpoenas; (b) Factual and legal issues; (c) Stipulations; (d) Requests for official notice; (e) Identification and exchange of documentary evidence; (f) Admissibility of evidence; (g) Identification and qualification of witnesses; (h) Motions; (i) Discovery disputes; (j) Order of presentation; (k) Scheduling; (l) Alternate dispute resolution; and (m) Any other matters that will promote the orderly and prompt conduct of the hearing. (5) Except as otherwise indicated in this chapter, at the discretion of the Agency, all or part of a prehearing conference may be recorded. (6) Prehearing Orders. (a) Unless otherwise stated in this chapter, when a prehearing conference has been held, the Agency shall issue a prehearing order. (b) The Agency shall set forth in the prehearing order the actions taken or to be taken with regard to any matter addressed at the prehearing conference. (c) If a prehearing conference is not held, the Agency may issue a prehearing order to regulate the conduct of the proceedings. (d) The prehearing order shall be a part of the case record. (7) If, after notice is given, a party fails to attend a prehearing conference, that party is bound by the Agency's prehearing order. B. In hearings delegated to the Office, COMAR 28.02.01.17 governs any prehearing conferences. #### Regulation .14 Conduct of Hearing. *COMAR 02.01.02.14* A. Hearings Before the Chief. (1) In hearings before the Chief, the provisions of §A(2) and (3) of this regulation apply. (2) Each party is entitled, on a genuine issue in a contested case, to: (a) Call witnesses; (b) Offer evidence; and (c) Cross-examine any witness who testifies. (3) Exclusion of Witnesses. (a) Upon request by a party, the Chief shall exclude witnesses other than parties from the hearing room, except when testifying. (b) A party that is not an individual may designate an employee or officer as its representative to remain in the hearing room, even though the employee or officer may be a witness. (c) An expert witness who is to render an opinion based on testimony given at the hearing may remain during that testimony. (d) A party, representative, witness, or spectator may not disclose to a witness excluded under §A(3) of this regulation the nature, substance, or purpose of testimony, or other evidence introduced during that witness's absence. (e) The Chief may: (i) Exclude the testimony of a witness who receives information in violation of §A(3) of this regulation; or (ii) Take other appropriate action. B. COMAR 28.02.01.20 governs hearings delegated to the Office. #### Regulation .15 Powers and Duties of the Individual Conducting Hearing. *COMAR 02.01.02.15* A. Duties of the Chief. In hearings before the Chief, the Chief shall: (1) Conduct a full, fair, and impartial hearing; (2) Take action to avoid unnecessary delay in the disposition of the proceeding; and (3) Maintain order. B. Powers of the Chief. In hearings before the Chief, the Chief has the power to regulate the course of the hearing and the conduct of the parties and authorized representatives, including the power to: (1) Administer oaths and affirmations; (2) Issue subpoenas for witnesses and the production of evidence; (3) Rule upon offers of proof and receive relevant and material evidence; (4) Consider and rule upon motions; (5) Admit affidavits and other hearsay as evidence, unless there are nonhearsay reasons why the evidence should be excluded; (6) Examine and call witnesses as necessary to ensure a full and complete record; (7) Limit unduly repetitious testimony and reasonably limit the time for presentations; (8) Grant a continuance or postponement; (9) Modify or waive, reasonably, any time periods established by this chapter; (10) Request parties to submit legal memoranda and proposed findings of fact and conclusions of law; (11) Make proposed or final decisions, as authorized, and take any other appropriate actions authorized by law; (12) Issue orders necessary to secure procedural simplicity and administrative fairness, and to eliminate unjustifiable expense and delay; (13) Conduct the hearing in a manner suited to ascertain the facts and safeguard the rights of the parties to the hearing; and (14) Impose appropriate sanctions for failure to abide by these regulations or any lawful order of the individual conducting the hearing. C. COMAR 28.02.01.11 governs the powers and duties of the Judge in hearings delegated to the Office. #### Regulation .16 Evidence. *COMAR 02.01.02.16* Evidence is admissible in accordance with State Government Article, §10-213, Annotated Code of Maryland, and other pertinent law. #### Regulation .17 Failure to Attend or Participate in a Hearing, Conference or Proceeding; Default. *COMAR 02.01.02.17* A. Hearings Before the Chief. (1) In hearings before the Chief, the provisions of §A(2)—(4) of this regulation apply. (2) After receiving proper notice, if a party fails to file a response or fails to attend or participate in a prehearing conference, hearing, or other stage of a proceeding, the Chief may proceed in that party's absence or may issue a default order against the defaulting party. (3) On motion filed within 30 days after the date of a default order, the Chief may, for good cause, vacate or modify the final default order and set the case in for further proceedings as appropriate. (4) If no motion is filed or a motion is denied, the default order is effective. B. COMAR 28.02.01.23 governs default in hearings delegated to the Office. #### Regulation .18 Motions. *COMAR 02.01.02.18* A. Hearings Before the Chief. (1) In hearings before the Chief, the provisions of §A(2—(7) of this regulation apply. (2) A party may move for appropriate relief by submitting a motion either: (a) In writing; or (b) Orally at the hearing. (3) Content of Motions. In the motion, a party shall: (a) Set forth the relief or order sought; (b) State with particularity the grounds; and (c) Attach as an exhibit to a written motion or, in an oral motion, refer to, any necessary supporting documents. (4) Prehearing Motions. (a) Filing. A party shall file any prehearing motions: (i) In writing; and (ii) Not later than 15 days before the date of the hearing. (b) Response. A party shall file a written response to a prehearing motion: (i) Within 15 days of filing of the motion; or (ii) If the hearing is scheduled within 15 days of filing of the motion, not later than the date of the hearing. (c) Emergency Request for Postponement. (i) For purposes of this section, “emergency” means a sudden, unforeseen occurrence requiring immediate attention that arises within 5 days of the hearing. (ii) In an emergency, a party may request a postponement by telephone. (iii) When practicable, a party shall contact all parties to a proceeding before a ruling on a postponement request is made. (5) Post-hearing Motions. (a) Filing. Post-hearing motions shall be filed in writing. (b) Response. A response to a post-hearing motion shall be filed: (i) In writing; and (ii) Within 15 days of filing of the motion. (6) Effect of Motion on Other Time Limits. The filing or pendency of a motion does not alter or extend any time limit otherwise established by this chapter. (7) Review of Ruling. A ruling on a motion may only be reviewed by: (a) Exception to the proposed decision; or (b) Judicial review under State Government Article, §10-222, Annotated Code of Maryland. B. COMAR 28.02.01.12 governs motions in hearings delegated to the Office. #### Regulation .19 Representation. *COMAR 02.01.02.19* A. In hearings before the Chief: (1) An individual may represent himself or herself; or (2) A party may be represented by an attorney authorized to practice law in Maryland or, if authorized by law, appear through a representative who is not an attorney. B. COMAR 28.02.01.08 governs representation matters in hearings delegated to the Office. #### Regulation .20 Recording. *COMAR 02.01.02.20* A. Proceedings shall be recorded by: (1) A stenographer; (2) A court reporting service; or (3) Electronic recording. B. Transcription. (1) Judicial Review of a Final Order. If a recorded proceeding has not been transcribed by a court reporting service before the filing of a petition for judicial review of a final order, and the parties are not filing a statement in lieu of record pursuant to Maryland Rule 7-206(b), the first party seeking judicial review shall: (a) Order the transcript from a court reporting service; and (b) Within 30 days of filing the petition for judicial review, have the court reporting service deliver a copy of the transcript to the Agency's administrative hearing clerk for transmittal to the clerk of the court. (2) Expense of Transcription. (a) The first party seeking judicial review shall pay the expense of transcription. (b) The expense of transcription is taxable as costs. #### Regulation .21 Exceptions and Responses. *COMAR 02.01.02.21* A. Filing Exceptions. A party shall file any exceptions to the proposed findings, conclusions, or orders of the Office or other designated person: (1) In writing; (2) With the Agency; and (3) Within 30 days of the date the proposed findings, conclusions, or orders are submitted to the Agency. B. Content of Exceptions. In its exceptions, a party shall: (1) Identify the proposed finding, conclusion, or order to which exception is being taken; (2) Specify the basis of the exception; (3) Set forth the facts and law that support the exception; and (4) State arguments in their entirety and not by reference to prior filings. C. Length of Exceptions. Unless a request is filed with and granted by the Agency, a party may not file exceptions that exceed 50 pages. D. Response to Exceptions. (1) Filing. A party shall file a response to exceptions: (a) In writing; (b) With the Agency; and (c) Within 30 days of filing of the exceptions. (2) Length. Unless a request is filed with and granted by the Agency, a party may not file a response to exceptions that exceeds 50 pages. E. Form of Exceptions and Responses. A party shall file exceptions and responses that conform to Maryland Rule 8-112. F. Oral Argument on Exceptions. Upon the request of a party, the Chief shall hear oral argument on exceptions. G. Additional Evidence. (1) The Chief may take additional evidence that was not introduced at the time of the hearing, or order that the individual who conducted the hearing take the additional evidence, if a party: (a) Applies for leave to offer the additional evidence at the time exceptions are filed; and (b) Establishes that: (i) The evidence is material; and (ii) There was good cause for failure to offer the evidence in the hearing. (2) The Chief, on the Chief's own initiative, may take additional evidence at any time before a final decision is rendered. #### Regulation .22 Proposed and Final Orders. *COMAR 02.01.02.22* A. After proposed findings of fact and conclusions of law have been issued, any party may file a proposed order with the Agency. B. If the Agency finds that a respondent has violated the Consumer Protection Act, Commercial Law Article, Title 13, Annotated Code of Maryland, the Agency shall issue a final order under Commercial Law Article, §13-403, and State Government Article, §10-221, Annotated Code of Maryland. #### Regulation .23 Modifications of Final Decisions. *COMAR 02.01.02.23* A. On motion of any party filed at any time, the Chief may modify a final decision to correct a mistake, irregularity or fraud in the same manner that the courts may exercise revisory power under Maryland Rule 2-535(b). B. On the initiative of the Chief, or on the motion of any party filed at any time, the Chief may modify a final decision to correct a clerical mistake in the same manner as the courts may exercise revisory power under Maryland Rule 2-535(d). C. In addition to the ability of the Chief to issue supplemental or amended orders in accordance with the terms of the final decision, on motion of any party filed within 14 days of the date of the final order, the Chief may modify a final decision. D. A request for modification pursuant to §§A—C of this regulation does not automatically stay the action or toll the time for filing a petition for judicial review. E. COMAR 28.02.01.27 governs modification of final decisions when final decision-making authority is delegated to the Office. #### Regulation .24 Notifications. *COMAR 02.01.02.24* A. A party shall notify the Agency and all parties in writing of any change of address or telephone number within 30 days of the change. B. If no change is provided, the Agency and all parties may rely on the last known address or telephone number. ### Chapter 03 — Petitions for Adoption of Regulations **Authority:** State Government Article, §10-122, Annotated Code of Maryland **Administrative History:** Effective date: September 29, 1976 (3:20 Md. R. 1143) **Administrative History:** Regulation .02 amended effective February 27, 2006 (33:4 Md. R. 351) **Administrative History:** Regulation .03 amended effective February 27, 2006 (33:4 Md. R. 351) **Administrative History:** Regulation .04 amended effective February 27, 2006 (33:4 Md. R. 351) #### Regulation .01 General. *COMAR 02.01.03.01* These regulations are promulgated pursuant to State Government Article, §10-122, Annotated Code of Maryland, for the purpose of establishing procedures by which the public may petition the Division of Consumer Protection for substantive adoption of regulations. #### Regulation .02 Petition. *COMAR 02.01.03.02* Any person may request that the Consumer Protection Division, Office of the Attorney General, promulgate regulations related to any matter over which the Division has jurisdiction. The request shall be made by petition and shall state clearly and concisely the following: A. The substance or the nature of the regulation adoption which is requested; B. The reasons for the request and the person's interest in the request; and C. References to the authority of the Division to take the action which is requested. #### Regulation .03 Referral to Consumer Council. *COMAR 02.01.03.03* The petition shall be referred to the Consumer Protection Commission so the Division can receive the Council's advice. #### Regulation .04 Disposition of Petition. *COMAR 02.01.03.04* A. Within 60 days of receipt of the petition, the Division shall determine whether sufficient cause exists to warrant the holding of a regulation adoption proceeding. B. If the petition does not warrant the holding of a regulation adoption proceeding, the Division shall promptly give notice of this fact to the person who filed the petition, including a brief statement of its reason for the denial. #### Regulation .05 Procedure for Adoption of Regulations. *COMAR 02.01.03.05* If a determination is made that the petition is sufficient to warrant further regulation adoption proceedings, the Division shall comply with the procedures in Commercial Law Article, §13-205, Annotated Code of Maryland. ### Chapter 04 — New Home Builder Registration Fee *Repealed* **Administrative History:** Effective date: February 19, 2001 (28:3 Md. R. 205) **Administrative History:** Chapter repealed effective April 14, 2003 (30:7 Md. R. 486) ### Chapter 05 — Refund Policy of Retailers **Authority:** Commercial Law Article, §13-205, Annotated Code of Maryland **Administrative History:** Effective date: September 1, 1976 (3:15 Md. R. 784) #### Regulation .01 General. *COMAR 02.01.05.01* These regulations are promulgated pursuant to the Commercial Law Article, §13-205, Annotated Code of Maryland. The provisions of the Commercial Law Article, §13-301(9), Annotated Code of Maryland, declare it to be an unfair or deceptive trade practice to knowingly conceal, suppress, or omit any material fact with the intent that a consumer rely on the same in connection with the promotion or sale of any consumer goods. The refund and exchange policies or a policy of no refunds or exchanges is material to consumers in making purchasing decisions, and consumers necessarily rely upon representations, past business practice, and the absence of a declared polity in making purchasing decisions. #### Regulation .02 Findings and Purpose. *COMAR 02.01.05.02* A. Findings. The Division of Consumer Protection of the Office of the Attorney General and the Consumer Council find that the refund and exchange policies of merchants, when left unstated, place the consumer at a disadvantage, particularly with merchants who vary refund and exchange policies with different consumers or who change policies without notice. Merchants' failure to communicate policies on refunds and exchanges, be it a policy of no refunds, cash refunds, or credit for returned merchandise, is a practice which is unfair and deceptive. B. Purpose. The purpose of these regulations is to require that a policy, a change in policy, or special sales promotion policies (such as final sale, fire sale, sale on “as is” merchandise, no returns, etc.), be clearly communicated to the consumer in all retail sales and to declare it to be an unfair and deceptive practice to fail to communicate the merchants' policies. #### Regulation .03 Definitions. *COMAR 02.01.05.03* A. The definitions of “consumer”, “consumer goods”, and “merchant” are, for the purposes of these regulations, the same definitions as are contained in Commercial Law Article, §13-101, Annotated Code of Maryland. B. “Retail sale” means the sale of goods for the use or consumption of the consumer or for the benefit or satisfaction which the consumer may derive from the use or consumption of the goods by another. “Retail sale” does not include the sale of goods for resale by the purchaser. #### Regulation .04 Unfair and Deceptive Trade Practices. *COMAR 02.01.05.04* It shall be an unfair or deceptive trade practice prohibited by Commercial Law Article, §13-303, Annotated Code of Maryland, for a merchant in any retail sale to fail to disclose to all customers in writing, either on the sales form, by a clearly visible sign, or by conspicuous label on the consumer goods, the terms and conditions of the merchant's refund and exchange policies, or a policy of no refunds or exchanges. A merchant shall be deemed in compliance with the requirements of this regulation if the merchant discloses to the customer in writing any time limit on refunds or exchanges and, upon request by the customer or gift recipient, within a reasonable time of the purchase: A. Gives a cash refund for a cash purchase; B. Gives a cash refund or account credit for a credit purchase; C. Gives a cash refund, account credit, or merchandise exchange for a gift purchase; or D. Otherwise complies with the refund and exchange policies disclosed. #### Regulation .05 Exemptions. *COMAR 02.01.05.05* The provisions of Regulation .04 do not apply to the sale of: A. Food, perishable goods, goods which are custom made, or which are custom-altered at the request of the consumer; or B. Goods which cannot be resold by the merchant because of any valid law or regulation promulgated by a governmental body. ### Chapter 06 — Arbitration Procedure **Authority:** Commercial Law Article, §§13-205 and 13-404;Courts and Judicial Proceedings Article, §3-201 et seq.; Annotated Code of Maryland **Administrative History:** Effective date: June 25, 1977 (4:13 Md. R. 1027) **Administrative History:** Regulation .07 amended effective April 21, 1978 (5:8 Md. R. 589) **Administrative History:** Regulations .01—.10 repealed effective July 15, 1985 (12:14 Md. R. 1429) **Administrative History:** Regulations .01—.11 adopted effective July 15, 1985 (12:14 Md. R. 1429) **Administrative History:** Chapter revised effective February 27, 2006 (33:4 Md. R. 351) **Administrative History:** Regulation .01B amended effective April 27, 2026 (52:8 Md. R. 355) **Administrative History:** Regulation .05C, D amended effective April 27, 2026 (52:8 Md. R. 355) **Administrative History:** Regulation .06 amended effective April 27, 2026 (52:8 Md. R. 355) **Administrative History:** Regulation .07F amended effective April 27, 2026 (52:8 Md. R. 355) **Administrative History:** Regulation .08A amended effective April 27, 2026 (52:8 Md. R. 355) **Administrative History:** Regulation .09B amended effective April 27, 2026 (52:8 Md. R. 355) **Administrative History:** Regulation .10 amended effective April 27, 2026 (52:8 Md. R. 355) #### Regulation .01 Scope of the Arbitration Program. *COMAR 02.01.06.01* A. General. Arbitration is a process by which disputes between parties are resolved outside of the court system by an impartial individual after hearing pertinent evidence and argument. Arbitration in Maryland is governed by the Maryland Uniform Arbitration Act, Courts and Judicial Proceedings Article, Title 3, Subtitle 2, Annotated Code of Maryland. B. Disputes Subject to Arbitration. Disputes arising out of transactions involving consumer goods, services, credit, or realty and which are covered by the Consumer Protection Act, Commercial Law Article, Title 13, Annotated Code of Maryland, may be arbitrated under these regulations when the consumer-complainant and the business agree to binding arbitration conducted under the arbitration program of the Consumer Protection Division. Unless the agreement to arbitrate stipulates otherwise, the arbitrator may award specific performance and damages, including consequential or incidental damages. Claims for punitive damages and attorney’s fees may not be arbitrated under any circumstances. #### Regulation .02 Cost. *COMAR 02.01.06.02* There will be no cost to either party for an arbitration conducted under these regulations except for transcripts ordered by a party. #### Regulation .03 Pool of Volunteer Arbitrators. *COMAR 02.01.06.03* A. Maintenance of Pool. The Arbitration Administrator may maintain a pool of volunteer arbitrators who will be selected to hear arbitrations that are not conducted by the Chief Arbitrator. A pool shall represent, to the extent feasible, a broad cross section of individuals from all parts of the State. The Arbitration Administrator will endeavor to obtain participation of a sufficient number of arbitrators from each region of the State to assure that arbitrations from that region will be heard and decided promptly. B. Qualifications of Arbitrators. (1) Individuals selected for the pool will be persons at least 21 years old who: (a) Have reputations for honesty, fairness, and diligence; (b) Have the ability to analyze the facts and law, and resolve disputes in an impartial, just, and common sense manner; (c) Are able to write clearly and demonstrate the reasoning followed in reaching the decision; (d) Demonstrate maturity and judgment; and (e) Are willing to commit the time that will be needed to assure that arbitrations assigned to them may be scheduled and decided promptly. (2) Volunteer arbitrators may be, but are not required to be, lawyers. C. Training. Volunteer arbitrators will be required to participate in one or more training programs, including training in: (1) How to conduct a hearing; (2) Applicable laws; and (3) Writing of an arbitration decision. #### Regulation .04 Participation in Arbitration Program. *COMAR 02.01.06.04* A. Precommitment Agreements. A person who conducts business in the State may agree, on a form prescribed by the Division, to submit to arbitration all, or any class of, disputes that may arise in the future between that merchant and a consumer so long as the dispute is one otherwise covered by these regulations. The agreement will provide that it will bind the business to submit to arbitration any complaint for which mediation efforts by the Division have not been fully successful, so long as the consumer also agrees to participate in the arbitration. An agreement under this section may be terminated with notice. B. Agreements to Arbitrate. Either party to a dispute covered by these regulations that is the subject of a complaint filed with the Consumer Protection Division may request arbitration, or arbitration may be suggested by the Consumer Protection Division, whether the business has agreed in advance to submit disputes to arbitration. When arbitration is requested by a party or suggested by the Consumer Protection Division, the Division will provide to each party an agreement to arbitrate on a form prescribed by the Division. The Division will note on the form the names of the parties, the issues on which arbitration is sought, the amount of the consumer's claim, and the remedy requested. Arbitration may be agreed to only by signing the arbitration agreement, which will provide that the arbitration will be governed by these regulations, that the decision will be binding except for limited appeals allowed by the Maryland Uniform Arbitration Act, and that the decision may be enforced by the Division. The Division will notify the parties whether arbitration has been agreed to or rejected. #### Regulation .05 Appointment of Arbitrator. *COMAR 02.01.06.05* A. Persons Eligible. The Chief Arbitrator may appoint himself/herself to preside over arbitration or may appoint an arbitrator from any pool maintained by the Arbitration Administrator. In making the appointment, the Chief Arbitrator will consider the: (1) Location of the arbitration; and (2) Ability of any potential arbitrator to hear and decide the particular matter fairly and promptly. B. Disqualification. (1) An arbitrator may not hear an arbitration if: (a) He/she is related to one of the parties, has a personal interest in the subject of the arbitration, has a present or former personal or business relationship with one of the parties; or (b) Other circumstances exist that might affect the arbitrator's ability to render a fair decision. (2) If the Chief Arbitrator is disqualified from hearing a matter, the Arbitration Administrator shall appoint the arbitrator. C. Notification. The Arbitration Administrator shall send written notice to the arbitrator of the appointment and the time, date, and location of the arbitration. The arbitrator shall promptly advise the Arbitration Administrator of any conflict or other interest in the matter that would preclude the arbitrator from serving, or of his/her unavailability to hear and decide the arbitration promptly. In this event, the Arbitration Administrator will make another appointment. D. Request for Disqualification. Any party may seek the disqualification of an arbitrator based upon the standards set forth in §B(1) of this regulation. The Chief Arbitrator may decide whether to grant the request or refer the request to the Chief of the Consumer Protection Division for decision. Any other arbitrator may refer the request to the Chief Arbitrator or, if the Chief Arbitrator has been disqualified previously, to the Chief of the Division. If an arbitrator, the Chief Arbitrator, or the Chief of the Division grants a request for disqualification, the Arbitration Administrator shall appoint another arbitrator to hear the matter. E. Substitution of Arbitrator. If an arbitrator is unable to conduct a prompt arbitration hearing or render a prompt decision in an arbitration already conducted due to illness, death, disability, or other reasons, the Arbitration Administrator may, after consultation with the parties, appoint another arbitrator. #### Regulation .06 Scheduling of Arbitration Hearing. *COMAR 02.01.06.06* A. Location and Time. Arbitrations shall be set by the Arbitration Administrator, to the extent feasible, at a time and location convenient to all parties. Arbitrations may be conducted at the complainant's home or the merchant's place of business, or any other location that will encourage a prompt and fair evaluation of the dispute. With the written agreement of the parties, the hearing may be conducted via electronic means. If either party desires a specific location for the hearing, that request shall be made in the agreement to arbitrate. B. Notice. After the parties agree to arbitrate the dispute, the Arbitration Administrator will schedule promptly a mutually convenient hearing date and mail notice of the date, time and place of the scheduled hearing at least 10 calendar days before the hearing to all parties by certified mail, return receipt requested, except that, with the written consent of the parties to the arbitration, the notice may be sent by email to an email address provided by the party to the Arbitration Administrator. The notice of the hearing will include the name of the arbitrator selected by the Chief Arbitrator to hear the dispute. C. Postponement. Any request for postponement may be granted by the arbitrator if all parties consent, or if good cause for a postponement is shown to the satisfaction of the Arbitration Administrator. Requests for postponement for cause should be made to the Arbitration Administrator at least 5 days before the hearing, unless the circumstances requiring the postponement do not allow 5 days' notice. Whenever a postponement is granted, the Arbitration Administrator will promptly reschedule the hearing and notify the arbitrator and the parties. #### Regulation .07 Conduct of the Arbitration Hearing. *COMAR 02.01.06.07* A. Representation. Parties to an arbitration may present their own cases or have someone represent them. Representation by an attorney is permitted but is not required. B. Presence at the Arbitration. Only the parties, witnesses, counsel, and other representatives may be present at an arbitration hearing unless the parties agree that other persons may attend. Witnesses, other than the parties and their representatives, may, at the discretion of the arbitrator, be excluded from the hearing during the testimony of any other witnesses. C. Failure to Appear. If a party, after proper notification, fails to appear at the hearing, the arbitrator shall hear the evidence presented and render a decision not earlier than 5 days following the hearing unless, within that time, the party who failed to appear establishes good cause for failing to appear, and failing to timely request a postponement. If good cause is established, the arbitrator shall reopen the hearing and take all additional evidence as is offered before rendering a decision. D. Allowable Evidence. The parties have the right to testify, present other witnesses, including experts, who have knowledge relevant to the dispute, and present relevant documents for the arbitrator's consideration. Each party may question the other party's witnesses. All witnesses will be placed under oath. Strict rules of evidence, such as apply in court proceedings, may not be applied, and the arbitrator will determine the weight to be given to any evidence that is presented. E. Inspections. The arbitrator has the discretion to make an inspection of the merchandise or goods which are the subject of the dispute, but are not available at the hearing, when requested by a party or whenever he/she determines that an inspection is necessary. If the arbitrator determines that an inspection of the goods or merchandise is necessary, then the arbitrator will promptly notify all parties to the dispute of the time and place of the inspection so that all parties to the dispute may be present if they wish. F. Expert Consultants. If the arbitrator determines that consultation with a neutral expert would assist him/her in reaching a fair decision, the arbitrator may request the Arbitration Administrator to obtain the services of an individual with the appropriate experience. The Arbitration Administrator may maintain a list of persons who have specialized skills covering a wide variety of consumer transactions, and who agree to provide expert assistance to the arbitration program when requested, so that requests for expert consultations may be honored with minimum delay. Consultation of an expert shall take place either in the presence of the parties and arbitrator or through the use of a conference call or electronic meeting arranged by the arbitrator. The arbitrator shall adjourn and reconvene the hearing if the adjournment is necessary for consultation of the expert. G. Adjournments and Reopenings. The arbitrator may adjourn an arbitration hearing from time to time as necessary. Notice of the adjournment shall be sent to the Arbitration Administrator who will schedule the adjourned hearing as appropriate. If the arbitrator determines after the close of the hearing, but before an award is made, that further hearing is needed to permit a just decision, the arbitrator may reopen the hearing by giving the parties reasonable notice of the reopening, including the matter or matters to be heard at the reopened hearing. The Arbitration Administrator shall schedule reopened hearings. #### Regulation .08 Ex Parte Communications. *COMAR 02.01.06.08* A. There shall be no direct communication between the parties to an arbitration and the arbitrator concerning the merits of the dispute other than at the arbitration hearing. Other communications, such as those concerning scheduling or other procedural matters, shall be made to the Arbitration Administrator, who will respond or refer the matter to the arbitrator as appropriate. B. If an ex parte communication occurs between a party and the arbitrator, the arbitrator shall notify the other party of the date, time, place, and content of the communication. If the communication occurs after the arbitration hearing and before rendering of the decision, the arbitrator shall reconvene the hearing, at the request of the party who did not engage in the ex parte communication, to permit submission of further evidence and rebuttal by both parties. #### Regulation .09 Transcript of Hearing. *COMAR 02.01.06.09* A. Record. Unless requested by a party, a verbatim record may not be made of the arbitration hearing, although the arbitrator will take notes of the testimony and place documentary evidence in an arbitration file. B. Transcription. A party may request in writing to the Arbitration Administrator that a verbatim record of all or part of the hearing be made and transcribed. This request shall be submitted with the agreement to arbitrate, and shall include an agreement to pay all costs of transcription. The Arbitration Administrator may require these costs to be advanced by the requesting party. Upon this request, the Arbitration Administrator will arrange for a reporter to be present or for the recording of the hearing. Once prepared, the transcript will be made available to all parties on request, and a copy will be preserved by the Arbitration Administrator. #### Regulation .10 The Arbitration Award. *COMAR 02.01.06.10* A. Discretion of Arbitrator. The award in an arbitration rests solely in the discretion of the arbitrator and may not be changed by any person within the Office of the Attorney General except for a modification by the arbitrator when allowed by the Maryland Uniform Arbitration Act. B. Time. The award shall be made promptly. Arbitrators will endeavor to make an award within 30 days of the hearing unless unusual circumstances prevent an award being made within the 30-day period. C. Form of Award. The award shall be in writing. It shall include: (1) The arbitrator's signature; (2) The date of the award; (3) The specific relief awarded to the complainant, or a statement that no relief is awarded; and (4) A statement of reasons for the award. D. Attorney’s Fees. An award may not include attorney’s fees. E. Notice. The arbitrator shall promptly submit the arbitration decision to the Arbitration Administrator. The Arbitration Administrator shall promptly deliver to the parties, by certified mail, return receipt requested, a copy of the award, along with an explanation of the parties' rights to appeal under the Maryland Uniform Arbitration Act. F. Settlement. If the parties settle the dispute before the award, the arbitrator shall set forth the terms of the settlement in an award, which shall have the same effect as any other award. G. Enforcement. If there has not been compliance with an award and no timely appeal has been taken, the Consumer Protection Division may seek confirmation of the decision in the appropriate court. #### Regulation .11 Interpretation of Regulations. *COMAR 02.01.06.11* These regulations are to be interpreted broadly to accomplish their purpose, and to promote the rendering of just, impartial, and timely arbitration decisions. ### Chapter 07 — Invention Development Services **Authority:** Commercial Law Article, §13-205, Annotated Code of Maryland **Administrative History:** Effective date: March 10, 1978 (5:3 Md. R. 134) #### Regulation .01 General. *COMAR 02.01.07.01* These regulations are promulgated pursuant to Commercial Law Article, §13-205, Annotated Code of Maryland, Subtitle, “Division of Consumer Protection; Consumer Council”. They shall apply to Chapter 362 of the Acts of 1977, which defines as an unfair or deceptive trade practice and thus prohibits under the provisions of Commercial Law Article, §13-303. Annotated Code of Maryland, “deception, fraud, false pretense, misrepresentation, or knowing concealment, suppression, or omission of any material fact with the intent that a consumer rely on the same in connection with a contract or other agreement for the evaluation, perfection, marketing, brokering, or promotion of an invention”. #### Regulation .02 Findings. *COMAR 02.01.07.02* A. The Consumer Protection Division of the office of the Attorney General and the Consumer Council find that Chapter 362 was enacted because of concern by the General Assembly regarding the practices of invention development services and, more particularly, because of concern as to whether those using these services were entitled to the benefits of the Consumer Protection Act. B. The Division and the Council further find that the General Assembly has delegated to them the responsibility to detail what practices of invention development services shall constitute violations of the Consumer Protection Act as unfair or deceptive trade practices, and to set certain requirements for the transaction of business by invention development services in Maryland. #### Regulation .03 Definitions. *COMAR 02.01.07.03* A. “Business day” means any calendar day except Sunday or the following business holidays: New Year's Day, Washington's Birthday, Memorial Day, Independence Day, Labor Day, Columbus Day, Veterans' Day, Thanksgiving Day, and Christmas Day, all as celebrated by the State of Maryland. B. “Contract” or “contract for invention development services”, for the purposes of these regulations, means a contract by which an invention developer undertakes invention development services for a customer for a stated payment or consideration, whether or not the payment or consideration has yet been made. C. “Customer” means a person, firm, partnership, corporation, or other entity that is solicited by or enters into a contract for invention development services with an invention developer. D. “Invention” means any discovery, process, machine, design, formulation, composition of matter, product, concept, or idea, or any combination of these. E. “Invention developer” means any person, firm, partnership, corporation, or other entity and any agent, employee, officer, partner, or independent contractor who or which sells or offers for sale in Maryland invention development services. “Invention developer” does not include: (1) Any department or agency of federal, state or local government; (2) Any charitable, scientific, educational, religious, or other organization qualified under Section 501(c)(3) or described in Section 170(b)(1)(a) of the Internal Revenue Code of 1954 as amended; and (3) Bona fide manufacturers' representatives who sell, broker or otherwise market goods. F. “Invention development services” means the evaluation, perfection, marketing, brokering, or promotion of an invention by an invention developer, including a patent search or the procurement thereof, procuring the preparation or prosecution of a patent application, and any other acts done by an invention developer for consideration for the purpose of procuring or attempting to procure a patent for an invention or finding a licensee or buyer for an invention. “Invention development services” does not include solely technical or industrial research and development services or the services of an attorney and of a patent agent duly registered by the United States Patent and Trademark Office in the performance of those tasks which they are permitted to perform by reason of their registration. #### Regulation .04 Contracts to be in Writing, Provided in Advance, and Contain Provision for Cancellation. *COMAR 02.01.07.04* A. Every contract for invention development services shall be in writing, and a completed copy shall be given to the customer in accordance with the provisions of these regulations. B. No contract for invention development services may require payment or any portion thereof to be made by the customer until after 3 business days following the date on which the customer receives a completed copy of it. C. Every contract for invention development services shall provide for a 3 business day period during which the customer may cancel the contract in accordance with the provisions of these regulations. #### Regulation .05 Contract Cover Sheet. *COMAR 02.01.07.05* A. Every contract for invention development services shall have a conspicuous and legible cover sheet with the following notice and required disclosures imprinted on it in boldface type of a minimum size of 10 points: B. The invention developer shall complete the cover sheet with the proper information to be provided in the required disclosures. Numbers to be inserted in Required Disclosure #1 may be rounded to the nearest 100 and need not include those who have contracted within the 2 immediately preceding calendar months or parts thereof. C. The cover sheet shall contain the items required by the provisions of Regulation .05A and B, of this chapter, the name, home office address, and local office address of the invention developer, and nothing more. #### Regulation .06 Mandatory Contract Provisions. *COMAR 02.01.07.06* Every contract for invention development services shall set forth, in conspicuous and legible type, all of the following information: A. The terms and conditions of payment, which shall be consistent with the requirements of these regulations. B. A full, clear, and concise description of the specific acts or services which the invention developer contracts to perform for the customer for the stated consideration. C. A statement as to whether the invention developer contracts to construct, sell, or distribute one or more prototypes, models, or devices embodying the customer's invention. D. The full name and principal place of business, both in Maryland and at its home office if different, of the invention developer, and the name and principal place of business of any parent, subsidiary, or affiliated company which regularly performs for the invention developer the kinds of services for which the customer has contracted. E. A statement of the fee being charged for all services to be provided under the contract, together with any terms and conditions applicable to the payment of the fee. F. A statement as to whether or not any representation of estimated or projected earnings is or has been given by the invention developer, its employees, or agents to the customer. If so, then such estimate or projection shall be stated in the contract, together with a description of the data on which it is based. G. A statement as to whether or not the invention developer's officers or employees, or any of them, are licensed to practice law in any jurisdiction or are patent agents or patent attorneys duly registered with the United States Patent and Trademark Office and if so, a statement whether he or she will handle the customer's case. H. The name and address of the custodian of all records and correspondence pertaining to the services being contracted, together with a statement that the invention developer shall maintain all records and correspondence related to the contract and the services being contracted for that customer for at least 3 years after the expiration of the contract. Identification of the custodian as the invention developer by company name and address shall be sufficient. The statement shall also recite that these records and correspondence will be made available to the customer or the customer's representative for review and copying at the customer's reasonable expense on the invention developer's premises during normal business hours upon 7 days' written notice. I. A statement setting forth the approximate time schedule for the performance of the invention development services, including the estimated date by which performance of the services contracted for is expected to be completed. J. If the invention developer or any of its officers, directors, or managing agents has or have, or if an affiliated, parent, or subsidiary of the invention developer or any of its officers, directors, or managing agents has or have, during the 5 years immediately preceding the receipt by the customer of the completed copy of the contract, been a defendant or respondent in any proceeding in which a finding of deception, fraud, false pretense, false premise, misrepresentation, or knowing concealment, suppression, or omission of a material fact with the intent that a consumer rely on the same, unfair competition, unauthorized practice of law, or violation of consumer protection laws or regulations of the United States, any state or the Federal Trade Commission, was a part of the basis of a final judgment of liability, a guilty verdict, or an injunction or consent decree by final order of court or administrative agency, then the contract shall set forth a statement describing the invention developer's final adjudicated status in that proceeding. Any such proceeding which is presently pending and in which the moving party was an agency or instrumentality of federal, state, or local government shall be similarly disclosed. In the case of a pending proceeding, the disclosure may include a statement of the status of the proceeding and an opinion, clearly identified as opinion, of the invention developer's legal counsel as to the merits of the allegations. K. If, in conjunction with any contract with a customer, the invention developer normally uses one or more subsequent contracts, then the invention developer shall include in the contract a statement summarizing the subsequent contracts normally used. The statement shall include the amount of any fees or other consideration that may be required from the customer for the subsequent contracts and an approximate schedule of the expected times at or occasions on which the subsequent contracts and fees or other consideration will be proposed by the invention developer. L. A statement as to whether or not the invention developer contracts to pursue or arrange for protection of the customer's invention by United States Letters Patent or United States Design Patent or any foreign patent. #### Regulation .07 Reports Required. *COMAR 02.01.07.07* A. With respect to every contract for invention development services, the invention developer shall deliver written reports to the customer at the address specified in the contract, at quarterly intervals commencing not later than 3 months after the date of the contract and continuing throughout the term of the contract. B. These written reports shall identify the contract and shall include: (1) A full, clear, and concise description of the services performed to the date of the report and of the services yet to be performed; and (2) The name and address of the persons, firms, corporations or other entities to which the subject matter forming the basis of the contract has been disclosed, the reason for every disclosure and copies of all responses received as a result of these disclosures. Information previously furnished to the customer need not be repeated, provided the invention developer retains copies of these communications with the records of that customer's contract. As to disclosures made at trade shows or exhibitions, the requirements of this regulation shall be met so long as the trade show, its date and location are identified in the report. #### Regulation .08 Cancellation Notice. *COMAR 02.01.07.08* A. Attached to the contract as a part thereof, there shall be a Notice of Cancellation, provided in duplicate and in easily detachable form, in not less than 10-point boldface type, which reads as follows: B. The invention developer shall complete the notice of cancellation form with all proper information, leaving blank only the date on which the customer executes the cancellation notice and the customer's signature. #### Regulation .09 Remedies. *COMAR 02.01.07.09* A. The customer may cancel any contract for invention development services by mailing or delivering a signed and dated copy of the notice of cancellation, or any other notice to the same effect, to the invention developer at the address provided for the invention developer in the notice of cancellation or elsewhere in the contract, not later than midnight of the third business day following the date on which the customer receives the completed copy of the contract. B. Any contract for invention development services which does not substantially comply with the provisions of these regulations is voidable at the option of the customer. C. Any contract for invention development services entered into in reliance upon deception, fraud, false pretense, misrepresentation, or knowing concealment, suppression, or omission of a material fact is voidable at the option of the customer. D. If a customer makes a valid cancellation of the contract in accordance with these regulations, the invention developer shall, within 10 days following that act, return to the customer at the address furnished in the contract any payments made or other consideration given by the customer under that contract, as well as any property entrusted to the invention developer by the customer. In conjunction with this return, the invention developer may retain copies of the material for file records, which copies shall remain confidential. E. The provisions of these regulations may not restrict any right to bring an action to recover for injury or loss sustained as a result of the matters dealt with in these regulations. F. A customer may not waive nor may any contract contain a waiver of any of the provisions of these regulations. #### Regulation .10 Effective Date of Regulations. *COMAR 02.01.07.10* These regulations shall be effective 30 days after notice of final action is published in the Maryland Register. ### Chapter 08 — Disclosure Statements for Sale of Kosher Food **Authority:** Commercial Law Article, §§14-902 and 14-903, Annotated Code of Maryland **Administrative History:** Effective date: January 15, 2002 (28:22 Md. R. 1933) #### Regulation .01 Purpose and Scope. *COMAR 02.01.08.01* A. The purpose of this chapter is to provide disclosure statements for persons who represent to the public that food that is sold or served is kosher, kosher for Passover, or under rabbinical or other kosher supervision. B. This chapter sets forth the disclosures that shall be made to a consumer regarding the preparation and handling of this food. The disclosures allow a consumer to make an informed choice as to whether the manner of food preparation and handling conforms to the consumer's standards. C. This chapter does not make a determination as to whether a food is kosher. #### Regulation .02 Definitions. *COMAR 02.01.08.02* A. In this chapter, the following terms have the meanings indicated. B. Terms Defined. (1) “Division” means the Division of Consumer Protection of the Office of the Attorney General. (2) Packaged Food. (a) “Packaged food” means food packaged in advance of sale by a producer or packer of the product in units suitable for retail sale. (b) “Packaged food” does not include food intended for consumption at its point of manufacture. #### Regulation .03 Disclosure Statements. *COMAR 02.01.08.03* A. This regulation does not apply to packaged food. B. A person who represents to the public that unpackaged food sold or served is kosher, kosher for Passover, or under rabbinical or other kosher supervision, shall complete at least one of the disclosure statements described in §§C—H of this regulation. C. Disclosure Statement for Persons Who Represent That They Sell or Serve Both Kosher and Nonkosher Meat, Including Poultry, and Dairy and Pareve Food. (1) The disclosure statement shall state in the affirmative or negative whether the person: (a) Operates under rabbinical or other kosher supervision; (b) Sells or serves meat, dairy, and pareve food described as kosher, as well as food not described as kosher; (c) Describes meat as kosher only if it is slaughtered under rabbinical or other kosher supervision, is tagged as kosher at the conclusion of the slaughter, and after slaughter is not mixed with meat not described as kosher; (d) Describes the kosher meat sold as “Glatt kosher” or “Glatt”; (e) Sells or serves seafood only if it has or had fins and removable scales; (f) Keeps separate meat described as kosher, dairy described as kosher, pareve food described as kosher, and food not described as kosher; (g) Uses separate utensils for meat described as kosher, dairy described as kosher, pareve food described as kosher, and food not described as kosher; and (h) Uses separate working areas for meat described as kosher, dairy described as kosher, pareve food described as kosher, and food not described as kosher. (2) The disclosure statement shall provide additional information concerning: (a) The deveining, salting, and other practices about the meat described as kosher; (b) The handling of food described as kosher and the handling of food not described as kosher; and (c) What is meant by “Glatt kosher” or “Glatt”, if the person describes the kosher meat sold as “Glatt kosher” or “Glatt”. D. Disclosure Statement for Persons Who Represent That They Sell or Serve Only Kosher Meat, Including Poultry, and Dairy and Pareve Food. (1) The disclosure statement shall state in the affirmative or negative whether the person: (a) Operates under rabbinical or other kosher supervision; (b) Sells or serves only meat, dairy, and pareve food described as kosher; (c) Describes meat as kosher only if it is slaughtered under rabbinical or other kosher supervision, is tagged as kosher at the conclusion of the slaughter, and after slaughter is not mixed with meat not described as kosher; (d) Describes the kosher meat sold as “Glatt kosher” or “Glatt”; (e) Sells or serves seafood only if it has or had fins and removable scales; (f) Keeps separate meat, dairy, and pareve food; (g) Uses separate utensils for meat, dairy, and pareve food; and (h) Uses separate working areas for meat, dairy, and pareve food. (2) The disclosure statement shall provide additional information concerning: (a) The deveining, salting, and other practices about the meat; and (b) What is meant by “Glatt kosher” or “Glatt”, if the person describes the kosher meat sold as “Glatt kosher” or “Glatt”. E. Disclosure Statement for Persons Who Represent That They Sell or Serve Only Kosher Meat, Including Poultry, and Pareve Food. (1) The disclosure statement shall state in the affirmative or negative whether the person: (a) Operates under rabbinical or other kosher supervision; (b) Sells or serves only meat and pareve food described as kosher; (c) Describes meat as kosher only if it is slaughtered under rabbinical or other kosher supervision, is tagged as kosher at the conclusion of the slaughter, and after slaughter is not mixed with meat not described as kosher; (d) Describes the kosher meat sold as “Glatt kosher” or “Glatt”; (e) Sells or serves seafood only if it has or had fins and removable scales; (f) Keeps separate meat and pareve food; (g) Uses separate utensils for meat and pareve food; and (h) Uses separate working areas for meat and pareve food. (2) The disclosure statement shall provide additional information concerning: (a) The deveining, salting, and other practices about the meat; and (b) What is meant by “Glatt kosher” or “Glatt”, if the person describes the kosher meat sold as “Glatt kosher” or “Glatt”. F. Disclosure Statement for Persons Who Represent That They Sell or Serve Only Kosher Dairy and Pareve Food. The disclosure statement shall state in the affirmative or negative whether the person: (1) Operates under rabbinical or other kosher supervision; (2) Sells or serves only dairy and pareve food described as kosher; (3) Sells or serves seafood only if it has or had fins and removable scales; (4) Keeps separate dairy and pareve food; (5) Uses separate utensils for dairy and pareve food; and (6) Uses separate working areas for dairy and pareve food. G. Disclosure Statement for Persons Who Represent That They Sell or Serve Food as Kosher for Passover. (1) The disclosure statement shall state in the affirmative or negative whether the person: (a) Makes the Passover preparations under rabbinical or other kosher supervision; (b) Keeps separate food described as kosher for Passover and food not described as kosher for Passover; (c) Uses separate utensils for Passover items; and (d) Uses separate working areas for Passover food. (2) The disclosure statement shall provide additional information about the content of the food that is described as kosher for Passover. H. Disclosure by Persons Who Represent They Sell or Serve Only Nonkosher Food, Except Kosher Hot Dogs—Alternative to Form in §C of This Regulation. (1) The disclosure statement shall provide information about the reasons the hot dogs are described as kosher. (2) The disclosure statement shall disclose whether separate utensils and working areas are used for the hot dogs described as kosher. (3) The disclosure statement shall disclose whether the hot dogs described as kosher are kept free from contact with food not described as kosher. I. The disclosure statement shall state the name of the establishment and the date of the disclosure. J. More than one disclosure statement shall be completed if a person represents that unpackaged food that is sold or served is: (1) Kosher; and (2) Kosher for Passover. K. The completed disclosure statements shall be posted in the manner set forth in Regulation .05 of this chapter. L. The Division shall develop forms for the disclosure statements described in §§C—H of this regulation, and shall make them available upon request. #### Regulation .04 Rabbinical or Other Kosher Supervision Statements. *COMAR 02.01.08.04* A. A person who represents to the public that food for sale or a place of business is under rabbinical or other kosher supervision shall complete a statement about the rabbinical or other kosher supervision. B. The statement about rabbinical or other kosher supervision shall set forth: (1) The name of the establishment; (2) The date the statement was completed; (3) The dates to which the supervision applies; (4) The name of the rabbi or agency; (5) The address of the rabbi or agency; (6) The phone number of the rabbi or agency; (7) The affiliation of the rabbi or agency; (8) The frequency with which the rabbi or agency visits the establishment; and (9) A general description about the rabbinical or other kosher supervision of the establishment. C. The statement about rabbinical or other kosher supervision shall be completed in addition to all disclosure statements required to be completed under Regulation .03 of this chapter. D. The completed statement about rabbinical or other kosher supervision shall be posted in the manner set forth in Regulation .05 of this chapter. E. The Division shall develop a form for the statement about rabbinical or other kosher supervision, and shall make it available at the request of a person. #### Regulation .05 Method of Posting. *COMAR 02.01.08.05* A. Disclosure Statements. The disclosure statements described in Regulation .03 of this chapter shall be posted in a clear and conspicuous manner, so that they can be seen easily by the consumer before the consumer buys or consumes the foods about which the disclosures are made. B. Statements about Rabbinical Supervision. The statement about rabbinical or other kosher supervision described in Regulation .04 of this chapter shall be posted adjacent to each disclosure statement. ### Chapter 09 — Deposits on New Homes—Escrow Account, Surety Bond, and Letter of Credit Requirements **Authority:** Real Property Article, §§10-302, 10-303.1, and 10-504, Annotated Code of Maryland **Administrative History:** Effective date: May 12, 2003 (30:9 Md. R. 614) #### Regulation .01 Purpose. *COMAR 02.01.09.01* The purpose of this chapter is to ensure compliance with State laws requiring that home builders secure deposits and other advance payments through the use of escrow accounts, surety bonds, and letters of credit, under Real Property Article, Title 10, Subtitle 3, Annotated Code of Maryland, and Real Property Article, Title 10, Subtitle 5, Annotated Code of Maryland (the Custom Home Protection Act). #### Regulation .02 Scope. *COMAR 02.01.09.02* This chapter applies to all home builders and sellers of new homes, unless exempted by the terms of Real Property Article, §10-304, Annotated Code of Maryland. #### Regulation .03 Definitions. *COMAR 02.01.09.03* A. In this chapter, the following terms have the meanings indicated. B. Terms Defined. (1) “Home builder” has the meaning stated in Business Regulation Article, §4.5-101(f), Annotated Code of Maryland. (2) “New home” has the meaning stated in Business Regulation Article, §4.5-101(k), Annotated Code of Maryland. (3) “Seller” means a vendor subject to Real Property Article, Title 10, Subtitle 3, Annotated Code of Maryland. (4) “Unit” means the Home Builder Registration Unit of the Consumer Protection Division of the Office of the Attorney General. #### Regulation .04 Procedures and Requirements. *COMAR 02.01.09.04* A. Form of Bond or Letter of Credit. Home builders and sellers of new homes shall: (1) Use the corporate surety bond or irrevocable letter of credit form provided by the Unit; or (2) Submit other corporate surety bond or letter of credit forms to the Unit for its consideration and prior approval for use as required under Real Property Article, §§10-302 and 10-303, Annotated Code of Maryland. B. Filing of Bonds and Letters of Credit. A home builder or seller shall file with the Unit at 200 St. Paul Place, 16th Floor, Baltimore, Maryland 21202, the corporate surety bonds and irrevocable letters of credit required by Real Property Article, §§10-302, 10-303, and 10-504, Annotated Code of Maryland. C. Certification of Compliance. (1) A home builder or seller shall file with the Unit a statement in a form provided by the Unit, signed by its president or vice president if a corporation, or by a general partner of the home builder or seller or by the home builder or seller individually if not a corporation, that the bond, letter of credit, or escrow account is in the amount required by Real Property Article, §§10-302, 10-303, and 10-504, Annotated Code of Maryland. (2) If the home builder or seller maintains escrow accounts instead of bonds or letters of credit, it shall file with the Unit a statement in a form provided by the Unit which shall be deemed to be a continuing representation until the Unit is notified in writing by the home builder or seller that the statement is to the contrary. (3) The statements required by §C of this regulation shall be filed with the Unit: (a) With the home builder's registration with the Unit; (b) With each renewal of the home builder's registration with the Unit; (c) For a seller that is not a home builder, that: (i) Files a bond or letter of credit, upon filing the bond or letter of credit with the Unit; (ii) Establishes an escrow account on, before, or within 20 days after the effective date of this chapter, within 30 days after the effective date of this chapter; or (iii) Establishes an escrow account 21 or more days after the effective date of this chapter, within 10 days after establishing the escrow account; and (d) Within 10 days of any change to the: (i) Method by which the home builder or seller complies with Real Property Article, Title 10, Subtitles 3 and 5, Annotated Code of Maryland; or (ii) Amount of the bond or letter of credit. D. The home builder or seller of new homes shall provide the Unit, upon request, any documents or information the Unit considers necessary to ensure compliance with Real Property Article, Title 10, Subtitles 3 and 5, Annotated Code of Maryland. ### Chapter 10 — Disclosure Statements for Sale of Halal Food **Authority:** Commercial Law Article, §§13-205, 14-3602, and 14-3604, Annotated Code of Maryland **Administrative History:** Effective date: March 23, 2009 (36:6 Md. R. 487) #### Regulation .01 Purpose and Scope. *COMAR 02.01.10.01* A. The purpose of this chapter is to provide disclosure statements for persons who represent to the public that food that is sold or served is halal. B. This chapter sets forth the disclosures that shall be made to a consumer regarding the source of food and the preparation, handling, and sale of the food. The disclosures allow a consumer to make an informed choice as to whether the source of the food and manner of food preparation and handling conform to the consumer's standards. C. This chapter does not make a determination as to whether a food is halal. #### Regulation .02 Definitions. *COMAR 02.01.10.02* A. In this chapter, the following terms have the meanings indicated. B. Terms Defined. (1) “Division” means the Division of Consumer Protection of the Office of the Attorney General. (2) Packaged Food. (a) “Packaged food” means food packaged in advance of sale by a producer or packer of the product in units suitable for retail sale. (b) “Packaged food” does not include food intended for consumption at its point of manufacture. (3) “Person” includes an individual, corporation, business trust, estate, trust, partnership, association, two or more persons having a joint or common interest, or any other legal or commercial entity. #### Regulation .03 Disclosure Statements. *COMAR 02.01.10.03* A. This regulation does not apply to packaged food. B. A person who represents to the public that unpackaged food sold or served is halal shall complete a disclosure statement described in §C of this regulation. C. Disclosure Statement for Persons Who Represent That They Sell or Serve Unpackaged Halal Food. (1) The disclosure statement shall state the name of the person selling or serving halal food and the date of the disclosure. (2) The disclosure statement shall state in the affirmative or negative whether the person: (a) Sells or serves only halal foods; or (b) Sells or serves both halal and non-halal foods. (3) The disclosure statement shall state in the affirmative or negative whether the person: (a) Sells or serves products that are certified by a halal certifying entity; (b) Sells or serves products that are purchased from vendors who represent that their products are halal; (c) Keeps halal and non-halal foods separate during preparation; and (d) Prepares foods in accordance with Islamic religious requirements. (4) The disclosure statement shall state: (a) The names of vendors from whom the person purchased unpackaged halal food products; and (b) That the address and phone number of the named vendors will be furnished on request. (5) The disclosure statement shall, if applicable, state: (a) The name of the person certifying the food as halal; and (b) That the address and phone number of the named certifying persons will be furnished on request. (6) The disclosure statement shall describe the halal food preparation and handling process. (7) The disclosure statement shall be amended as necessary. D. Disclosure Statement for Persons Who Represent That They Sell or Serve Both Halal and Non-Halal Foods. (1) The disclosure statement shall include the requirements under §C of this regulation. (2) The disclosure statement shall state in the affirmative or negative whether the person: (a) Uses separate ovens, sinks, and preparation areas for halal and non-halal foods; (b) Uses separate utensils and equipment for halal and non-halal foods; (c) Uses separate refrigerators, freezers, and storage areas for halal and non-halal foods; and (d) Mixes non-halal and halal foods. E. The completed disclosure statement shall be posted in the manner set forth in Regulation .04 of this chapter. F. The Division shall develop a form for the disclosure statement described in §§C and D of this regulation, and shall make forms available upon request. #### Regulation .04 Method of Posting. *COMAR 02.01.10.04* The disclosure statement described in Regulation .03 of this chapter shall be posted in a clear and conspicuous manner, so that the consumer can easily see it before the consumer buys or consumes the foods about which the disclosures are made.