Plain Text Law

Title 14 — Subtitle 08. Blind Industries and Services of Maryland

Chapter 01. Licensing for the Sale of Products Made by the Blind

Regulation .01 Intent of Regulations.Copy Citation

A.
Pursuant to the intent of the Annotated Code of Maryland, these regulations are to assure that persons, associations, or corporations engaged in the business of selling products made by the blind conduct themselves in the highest ethical fashion and in no way impose a negative influence on the quality of lives lived by blind persons in the State.
B.
These regulations are applicable to all persons, associations, or corporations selling products made by the blind, whether for profit or charitable purposes.
C.
A person, association, or corporation may not include in its sales presentation the information that the products being sold were made by blind persons unless this information is used to demonstrate the quality of the product being sold.

Regulation .02 Application.Copy Citation

A.
A person, association, or corporation desiring to sell products made by blind persons shall apply to the Blind Industries and Services of Maryland and use a form provided by the Blind Industries and Services of Maryland, which form, as amended from time to time, is incorporated herein and made a part of these regulations.
B.
A person, association, or corporation may not commence the sale of products made by the blind before being issued a license by Blind Industries and Services of Maryland (“BISM”).
C.
All applicants shall be required to submit at least the following information as part of the application:
(1)
Type of business organization and names and addresses of all persons investing monies and the amount of each investment;
(2)
The names and addresses of all persons who will be entitled to participate in the profits or receive dividends derived from the sale of products made by blind persons, or both, and the percentage each will receive;
(3)
The names and addresses and relationship to any other corporations, associations, or businesses that the applicant may have;
(4)
The location of the business and any leases that have been or will be entered into for this location;
(5)
Information to show compliance with laws governing employer-employee relations, including Equal Employment Opportunity regulations when applicable;
(6)
Information filed with the Maryland Department of Assessments and Taxation and the Internal Revenue Service;
(7)
The names, home addresses, ages, and compensation of all persons engaged in the sale or solicitation of sales of products made by blind persons;
(8)
The form and content of the sales approach to be used, including type of approach (that is, door-to-door, telephone), written sales presentation to be used, areas of the State to be canvassed, types of and dates of canvassing and solicitation, and names, addresses, and ages of persons to be used in particular areas of the State;
(9)
A list of products to be sold, purchase price, sale price, profit margin, and sources of products;
(10)
A projected profit and loss statement of the business and a current balance sheet and profit and loss statement.
D.
A fee of 50 cents shall be charged for each license and each renewal of a license for persons, associations, or corporations residing or having their main office in Maryland. The license and renewal fee shall be $5 for those persons, associations, or corporations not residing or having their main office in Maryland.
E.
Before the filing of this application or the sale of products made by blind persons, or both, applicants are required to read and understand Article 30, §30A, Annotated Code of Maryland, and these regulations.
F.
Each license holder shall notify Blind Industries and Services of Maryland of any change or changes with respect to information furnished in its original application or subsequent renewal applications concerning sales approach, personnel, or areas of operations within 10 days after the change or changes occur.

Regulation .03 Renewal Application.Copy Citation

A.
Annually, 30 days before the close of a calendar year subsequent to the original date of issuance of a license to sell products made by the blind, the license holder shall submit a renewal application. Renewal applications shall be obtained by written request to the Blind Industries and Services of Maryland.
B.
Financial Statements. A license holder shall submit with the renewal application an annual financial statement covering its operations for the preceding fiscal year.

Regulation .04 Violations, Rejections, and evocations.Copy Citation

Violation of any of the following requirements shall subject an applicant or license holder, as the case may be, to rejection of an application, reprimand, suspension, or revocation of a license:
A.
Incorrect or incomplete information in an original or renewal application;
B.
Failure to inform Blind Industries and Services of Maryland of changes in personnel, sales approach, or area of operations as set forth in Items 6, 7, 17(a), 17(b), and 17(c) of the application;
C.
Any misrepresentation with respect to a product being sold;
D.
Any failure to conform to the provisions of Article 30, §30A, Annotated Code of Maryland, or these regulations.

Regulation .05 Procedure for Investigation of Complaints.Copy Citation

A.
Any person who alleges by written complaint a violation of any law regulating the sale of products made by blind persons may initiate an investigation by Blind Industries and Services of Maryland. The complaint shall be accompanied by documents, contracts, or other records relevant to the complaint to the extent that these written materials exist.
B.
Upon receipt of a sworn and written complaint, the Chairman of the Board of Trustees shall cause to be conducted a preliminary investigation of any person alleged to have violated the law, and a notice of preliminary investigation shall be delivered to all persons subject to this investigation. This notice shall contain a brief statement of the complaint and the sections of the law alleged to have been violated.
C.
After the preliminary investigation, the complainant and the person subject to investigation shall receive a written report of the investigation with an opinion as to any probable cause of a violation of the law.
D.
If probable cause of a violation is disclosed by the preliminary investigation, then all persons, including the complainant, shall be required to attend an informal conference in the offices of BISM. All other interested parties to the investigation shall be invited to attend.
E.
The informal conference shall be for the purpose of explaining the law and the rights or duties of the parties with respect thereto with the intention of adjusting the complaint.
F.
If the informal conference fails to adjust the complaint, any party (including the representative of BISM) may request a hearing by sending a written request to the Chairman of the Board of Trustees within 25 days after the informal conference.
G.
The Chairman of the Board of Trustees shall have the discretion to order a hearing upon his own motion at any time within 25 days following the informal conference.
H.
A notice of hearing with a brief statement of the allegations and references to the appropriate sections of the law shall be delivered to all parties involved.
I.
The time and place of the hearing may not be changed unless 7 days prior thereto written notice is delivered to the Chairman of the Board of Trustees with reasonable grounds therefor, and granted by the Chairman.

Regulation .06 Procedure for Hearings on Complaints.Copy Citation

A.
The matter shall be heard by a panel of three chosen by the Chairman of the Board of Trustees. One member of the panel shall be the President of BISM and two other members shall be chosen from the Board of Trustees. He shall designate one member as Chairman of the Panel.
B.
The style of the complaint shall be called, and all persons summoned or who intend to give testimony shall be sworn.
C.
The Chairman shall explain briefly the purpose and nature of the hearing.
D.
Introduction of the following exhibits shall be made:
(1)
The written complaint;
(2)
Acknowledgement of the complaint;
(3)
Notice of the complaint and preliminary investigation;
(4)
Report of the preliminary investigation;
(5)
Notice of informal conference;
(6)
Written request for hearing;
(7)
Notices of hearing.
E.
Counsel for any interested party may be heard on any preliminary objections, exceptions, or motions, provided counsel represents a person subject to some penalty under the law.
F.
Introduction for identification only of any contracts, checks, notices, receipts, letters, files, or other documents relevant to the hearing shall be proffered.
G.
Counsel for BISM shall conduct the initial examination of the witness, and any person subject to penalties under the law, or his counsel, shall be permitted to cross examine each witness in turn, after which counsel for BISM may examine the witness on redirect examination.
H.
The rules of evidence of the Administrative Procedure Act, Article 41, §252, Annotated Code of Maryland, shall apply. A copy of this section shall be furnished to the parties at or before the hearing.
I.
Any person subject to penalty under the law may introduce any testimony or other evidence in rebuttal or of any affirmative nature. Any witness so introduced shall be subject to cross examination.
J.
Counsel for BISM or any person subject to penalty under the law may make any statement or argument relevant to the hearing.
K.
If the hearing panel determines that there is probable cause to believe that a violation of Article 30, §30A, has been committed, it shall refer, within 7 days, its findings to the Office of the State's Attorney within the jurisdiction where the violation has occurred.

Regulation .07 Procedure for Hearings on Suspension or Revocation of Licenses.Copy Citation

A.
The matter shall be heard by a panel selected as set forth in Regulation .06A.
B.
The title of the case shall be called, and all persons summoned or who intend to give testimony shall be sworn.
C.
The Chairman shall explain briefly the purpose and nature of the hearing, and shall recite the charges brought against the licensee, giving reference to the particular statute and sections thereof.
D.
Counsel for any interested party may be heard for any preliminary objections, exceptions, or motions, provided counsel represents a person whose property rights may be affected by the hearing.
E.
Introduction for identification only of any contracts, checks, notices, receipts, letters, files, or other documents relevant to the charges shall be proffered.
F.
The Counsel for BISM shall conduct the initial examination of the witnesses and then any person subject to penalties under the law or his counsel shall be permitted to cross examine the witnesses, after which, the counsel for BISM may examine the witness on redirect examination.
G.
Any person subject to penalty under the law may introduce any testimony or other evidence in rebuttal or of an affirmative nature. Any witness so introduced shall be subject to cross examination.
H.
Counsel for BISM or any person subject to penalty under the law or through his attorney may make any statement or argument relevant to the hearing.
I.
The rules of evidence of the Administrative Procedure Act, Article 41, §252, Annotated Code of Maryland, shall apply. A copy of the section shall be furnished to the parties at or before the hearing.
J.
The hearing panel shall file in BISM's office its findings which may result in suspension or revocation of the respondent's license or a reprimand to the respondents and a statement of all facts considered by them upon which the findings are based. A copy of the findings shall be given to each party involved.

Regulation .08 Petition for Declaratory Rulings.Copy Citation

A.
A licensee of BISM may petition the Chairman of the Board of Trustees for a ruling on the applicability of any regulation or of any statute to this licensee.
B.
The petition shall state the regulation or statute to be considered and a concise statement of the facts.
C.
The petition shall contain all statutes, judicial decisions, or regulations relevant to the issue.
D.
The petitioner may request a hearing to present any argument in support of the issue.
E.
The Chairman of the Board of Trustees, within 30 days from the presentation of the petition or the hearing, shall render a declaratory ruling on the petition.
F.
Any declaratory ruling may be modified or reversed by the adoption of regulations after the ruling as provided in Article 41, §245, Annotated Code of Maryland.
G.
Copies of all declaratory rulings shall be recorded in the office of BISM.

Regulation .09 Advertising.Copy Citation

A.
Every advertisement shall state or clearly indicate the identity of the licensee in such a manner as to prevent confusion with the name of any other unrelated licensee.
B.
A licensee may not advertise any statement or claims as to the superiority of any product which is not true.
C.
A licensee may not advertise any warranties on any products which are not given to the customer in writing at the time of purchase.
D.
All advertisements shall be submitted to the Chairman of the Board of Trustees of BISM at least 25 days before release. If the licensee does not receive a notice of disapproval from the Chairman at least 10 days before this advertising is to be released, then the licensee may proceed with this advertising on schedule. Any advertising which has not been disapproved may be repeated without further approval.