MD
Maryland House Bill HB1441

Maryland 2025 Regular Session

Maryland House Bill HB1441 Compare Versions

Only one version of the bill is available at this time.
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33 EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
44 [Brackets] indicate matter deleted from existing law.
55 *hb1441*
66
77 HOUSE BILL 1441
88 C2 5lr3280
99 CF SB 918
1010 By: Delegates Rogers, Boafo, Fraser–Hidalgo, and A. Johnson
1111 Introduced and read first time: February 7, 2025
1212 Assigned to: Economic Matters
1313
1414 A BILL ENTITLED
1515
1616 AN ACT concerning 1
1717
1818 Business Regulation – Electronic Smoking Devices Manufacturers – 2
1919 Certifications 3
2020
2121 FOR the purpose of authorizing the Executive Director of the Alcohol, Tobacco, and 4
2222 Cannabis Commission and the Attorney General to take certain action relating to 5
2323 the licensure of certain electronic smoking devices manufacturers, wholesalers, 6
2424 importers, and retailers and vape shop vendors in certain circumstances; requiring 7
2525 an electronic smoking devices manufacturer to execute and deliver a certain 8
2626 certification to the Attorney General each year; requiring the Attorney General to 9
2727 develop and make available to the public a certain directory listing certain electronic 10
2828 smoking devices manufacturers; requiring electronic smoking devices 11
2929 manufacturers to place a certain amount of money into a qualified escrow account 12
3030 under certain circumstances; making a certain violation of this Act an unfair, 13
3131 abusive, or deceptive trade practice that is subject to enforcement and penalties 14
3232 under the Maryland Consumer Protection Act; and generally relating to the 15
3333 regulation of electronic smoking devices. 16
3434
3535 BY repealing and reenacting, with amendments, 17
3636 Article – Business Regulation 18
3737 Section 16.7–101 and 16.7–102; and 16.7–202, 16.7–204, 16.7–207, and 16.7–213.1 19
3838 to be under the amended subtitle “Subtitle 2. Electronic Smoking Devices 20
3939 Licenses” 21
4040 Annotated Code of Maryland 22
4141 (2024 Replacement Volume) 23
4242
4343 BY repealing and reenacting, without amendments, 24
4444 Article – Business Regulation 25
4545 Section 16.7–201 26
4646 Annotated Code of Maryland 27
4747 (2024 Replacement Volume) 28
4848 2 HOUSE BILL 1441
4949
5050
5151 BY adding to 1
5252 Article – Business Regulation 2
5353 Section 16.7–301 through 16.7–309 to be under the new subtitle “Subtitle 3. 3
5454 Certification Requirements for Electronic Smoking Devices Manufacturers” 4
5555 Annotated Code of Maryland 5
5656 (2024 Replacement Volume) 6
5757
5858 BY repealing and reenacting, with amendments, 7
5959 Article – Commercial Law 8
6060 Section 13–301(14)(xlii) 9
6161 Annotated Code of Maryland 10
6262 (2013 Replacement Volume and 2024 Supplement) 11
6363
6464 BY repealing and reenacting, without amendments, 12
6565 Article – Commercial Law 13
6666 Section 13–301(14)(xliii) 14
6767 Annotated Code of Maryland 15
6868 (2013 Replacement Volume and 2024 Supplement) 16
6969
7070 BY adding to 17
7171 Article – Commercial Law 18
7272 Section 13–301(14)(xliv) 19
7373 Annotated Code of Maryland 20
7474 (2013 Replacement Volume and 2024 Supplement) 21
7575
7676 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 22
7777 That the Laws of Maryland read as follows: 23
7878
7979 Article – Business Regulation 24
8080
8181 16.7–101. 25
8282
8383 (a) In this title the following words have the meanings indicated. 26
8484
8585 (b) “County license” means a license issued by the clerk to sell electronic smoking 27
8686 devices to consumers in a county. 28
8787
8888 (c) (1) “Electronic smoking device” means a device that can be used to deliver 29
8989 aerosolized or vaporized nicotine to an individual inhaling from the device. 30
9090
9191 (2) “Electronic smoking device” includes: 31
9292
9393 (i) an electronic cigarette, an electronic cigar, an electronic cigarillo, 32
9494 an electronic pipe, an electronic hookah, a vape pen, NICOTINE SALTS, and vaping liquid; 33
9595 and 34
9696 HOUSE BILL 1441 3
9797
9898
9999 (ii) except as provided in paragraph (3) of this subsection, any 1
100100 component, part, CARTRIDGE, TANK, or accessory of such a device regardless of whether 2
101101 or not it is sold separately, including any substance intended to be aerosolized or vaporized 3
102102 during use of the device. 4
103103
104104 (3) “Electronic smoking device” does not include: 5
105105
106106 (i) a drug, device, or combination product authorized for sale AS A 6
107107 NICOTINE REPLA CEMENT PRODUCT by the U.S. Food and Drug Administration under 7
108108 the Federal Food, Drug, and Cosmetic Act; or 8
109109
110110 (ii) a battery or battery charger when sold separately. 9
111111
112112 (d) “Electronic smoking devices manufacturer” means a person that: 10
113113
114114 (1) manufactures, mixes, or otherwise produces electronic smoking devices 11
115115 intended for sale in the State, including electronic smoking devices intended for sale in the 12
116116 United States through an importer; and 13
117117
118118 (2) (i) sells electronic smoking devices to [a consumer, if the consumer 14
119119 purchases or orders the devices through the mail, a computer network, a telephonic 15
120120 network, or another electronic network,] a licensed electronic smoking devices wholesaler 16
121121 distributor[,] or a licensed electronic smoking devices wholesaler importer [in the State]; 17
122122
123123 (ii) if the electronic smoking devices manufacturer also holds a 18
124124 license to act as an electronic smoking devices retailer or a vape shop vendor, sells electronic 19
125125 smoking devices in the same manner as a vape shop vendor to consumers located in the 20
126126 State; or 21
127127
128128 (iii) unless otherwise prohibited or restricted under local law, this 22
129129 article, or the Criminal Law Article, distributes sample electronic smoking devices to a 23
130130 licensed electronic smoking devices retailer or vape shop vendor. 24
131131
132132 (e) “Electronic smoking devices retailer” means a person that: 25
133133
134134 (1) sells electronic smoking devices to consumers; 26
135135
136136 (2) holds electronic smoking devices for sale to consumers; or 27
137137
138138 (3) unless otherwise prohibited or restricted under local law, this article, 28
139139 the Criminal Law Article, or § 24–305 of the Health – General Article, distributes sample 29
140140 electronic smoking devices to consumers in the State. 30
141141
142142 (f) “Electronic smoking devices wholesaler distributor” means a person that: 31
143143 4 HOUSE BILL 1441
144144
145145
146146 (1) [obtains at least 70% of its electronic smoking devices from a holder of 1
147147 an electronic smoking devices manufacturer license under this subtitle or a business entity 2
148148 located in the United States] IS NOT AN ELECTRONIC SMOKING DEVICES WHOL ESALER 3
149149 IMPORTER; and 4
150150
151151 (2) (i) holds electronic smoking devices for sale to another person for 5
152152 resale; or 6
153153
154154 (ii) sells electronic smoking devices to another person for resale. 7
155155
156156 (g) “Electronic smoking devices wholesaler importer” means a person that: 8
157157
158158 (1) obtains at least 70% of its electronic smoking devices from a [business 9
159159 entity] LICENSED ELECTRONIC SMOKING DEVICES MANU FACTURER located in a 10
160160 foreign country; and 11
161161
162162 (2) (i) holds electronic smoking devices for sale to another person for 12
163163 resale; or 13
164164
165165 (ii) sells electronic smoking devices to another person for resale. 14
166166
167167 (h) “Executive Director” means the Executive Director of the Alcohol, Tobacco, 15
168168 and Cannabis Commission. 16
169169
170170 (i) “License” means: 17
171171
172172 (1) a license issued by the Executive Director under § 16.7–203(a) of this 18
173173 title to: 19
174174
175175 (i) act as a licensed electronic smoking devices manufacturer; 20
176176
177177 (ii) act as a licensed electronic smoking devices wholesaler 21
178178 distributor; or 22
179179
180180 (iii) act as a licensed electronic smoking devices wholesaler importer; 23
181181 or 24
182182
183183 (2) a license issued by the clerk under § 16.7–203(b) of this title to: 25
184184
185185 (i) act as a licensed electronic smoking devices retailer; or 26
186186
187187 (ii) act as a licensed vape shop vendor. 27
188188
189189 (j) “Sell” means to exchange or transfer, or to agree to exchange or transfer, title 28
190190 or possession of property, in any manner or by any means, for consideration. 29
191191 HOUSE BILL 1441 5
192192
193193
194194 (k) “Vape shop vendor” means an electronic smoking devices business that sells 1
195195 electronic smoking devices and related accessories to consumers on the premises of its place 2
196196 of business. 3
197197
198198 (l) “Vaping liquid” means a liquid that: 4
199199
200200 (1) consists of propylene glycol, vegetable glycerin, or other similar 5
201201 substance; 6
202202
203203 (2) may or may not contain natural or artificial flavors; 7
204204
205205 (3) may or may not contain nicotine; and 8
206206
207207 (4) converts to vapor intended for inhalation when heated in an electronic 9
208208 device. 10
209209
210210 16.7–102. 11
211211
212212 (a) The Executive Director may delegate any power or duty of the Executive 12
213213 Director under this title. 13
214214
215215 (b) Any person [licensed under Title 16 or Title 16.5 of this article, or an affiliate, 14
216216 as defined under § 16–402(c) of this article, of a person licensed under Title 16 of this article: 15
217217
218218 (1) is authorized to] WHO IS SEEKING TO MA NUFACTURE , DISTRIBUTE, 16
219219 OR SELL ELECTRONIC S MOKING DEVICES IN THE STATE MUST OBTAIN A LICENSE TO 17
220220 manufacture, distribute, or sell electronic smoking devices pursuant to this title [in the 18
221221 same capacity as the person is licensed under Title 16 or Title 16.5 of this article; and 19
222222
223223 (2) may not be required to obtain an additional license under this title]. 20
224224
225225 Subtitle 2. Electronic [Nicotine Delivery Systems] SMOKING DEVICES Licenses. 21
226226
227227 16.7–201. 22
228228
229229 (a) A person must hold an appropriate license before the person may act as: 23
230230
231231 (1) an electronic smoking devices manufacturer; 24
232232
233233 (2) an electronic smoking devices retailer; 25
234234
235235 (3) an electronic smoking devices wholesaler distributor; 26
236236
237237 (4) an electronic smoking devices wholesaler importer; or 27
238238
239239 (5) a vape shop vendor. 28 6 HOUSE BILL 1441
240240
241241
242242
243243 (b) A place of business in which a person acts as an electronic smoking devices 1
244244 retailer or a vape shop vendor must hold an appropriate license. 2
245245
246246 16.7–202. 3
247247
248248 (a) [(1)] An applicant for a license to act as an electronic smoking devices 4
249249 manufacturer, electronic smoking devices wholesaler distributor, or electronic smoking 5
250250 devices wholesaler importer shall: 6
251251
252252 [(i)] (1) obtain an appropriate [county] license by submitting an 7
253253 application to the Executive Director on the form and containing the information that the 8
254254 Executive Director requires; 9
255255
256256 [(ii)] (2) indicate the licenses for which the applicant is applying; 10
257257 and 11
258258
259259 [(iii)] (3) [except as provided in paragraph (2) of this subsection,] 12
260260 pay to the Executive Director a fee of [$25] $300 for each license for which the applicant 13
261261 applies. 14
262262
263263 [(2) An applicant for a license to act as an electronic smoking devices 15
264264 wholesaler distributor or electronic smoking devices wholesaler importer shall pay to the 16
265265 Executive Director a fee of $150.] 17
266266
267267 (b) (1) An applicant for a license to act as an electronic smoking devices 18
268268 retailer or a vape shop vendor: 19
269269
270270 (i) shall obtain a county license by submitting to the clerk an 20
271271 application for each permanent or temporary place of business located in the same 21
272272 enclosure and operated by the same applicant; and 22
273273
274274 (ii) except as provided in paragraph (2) of this subsection, shall pay 23
275275 to the clerk a fee of $300. 24
276276
277277 (2) The application shall: 25
278278
279279 (i) be made on the form that the clerk requires; and 26
280280
281281 (ii) contain the information that the Executive Director requires. 27
282282
283283 (3) (i) From each license fee collected under this subsection, the clerk 28
284284 shall distribute: 29
285285
286286 1. $25 to the Executive Director; and 30
287287 HOUSE BILL 1441 7
288288
289289
290290 2. $275 to the Maryland Department of Health to be used by 1
291291 the Department or its designee to enforce existing laws prohibiting the sale or distribution 2
292292 of tobacco, tobacco products, or electronic smoking devices, as defined in § 16.7–101 of this 3
293293 title, to individuals under the age of 21 years. 4
294294
295295 (ii) Funds distributed under this subsection may not be used to 5
296296 supplant existing funding for the enforcement of laws banning the sale or distribution of 6
297297 tobacco, tobacco products, or electronic smoking devices to individuals under the age of 21 7
298298 years. 8
299299
300300 (c) A licensee shall display a license in the way that the Executive Director 9
301301 requires by regulation. 10
302302
303303 (d) If a person has had a license revoked under § 16.7–207 of this subtitle, the 11
304304 person may not reapply for a license within 1 year after the date when the prior license was 12
305305 revoked. 13
306306
307307 16.7–204. 14
308308
309309 (a) An electronic smoking devices manufacturer license authorizes the licensee 15
310310 to: 16
311311
312312 (1) sell electronic smoking devices to: 17
313313
314314 (i) a licensed electronic smoking devices wholesaler [located in the 18
315315 State] DISTRIBUTOR ; OR 19
316316
317317 (ii) an electronic smoking devices wholesaler [or retailer located 20
318318 outside the State if the electronic smoking devices may be sold lawfully in Maryland; 21
319319
320320 (iii) a licensed vape shop vendor; and 22
321321
322322 (iv) a consumer if: 23
323323
324324 1. the licensee manufactured the devices; and 24
325325
326326 2. the consumer purchases or orders the devices through the 25
327327 mail, a computer network, a telephonic network, or another electronic network] 26
328328 IMPORTER; 27
329329
330330 (2) if the electronic smoking devices manufacturer licensee also holds a 28
331331 license to act as an electronic smoking devices retailer or a vape shop vendor, transfer 29
332332 electronic smoking devices to inventory for sale under the retail license or vape shop license; 30
333333 and 31
334334 8 HOUSE BILL 1441
335335
336336
337337 (3) except as otherwise prohibited or restricted under local law, this article, 1
338338 or the Criminal Law Article, distribute electronic smoking devices products to a licensed 2
339339 electronic smoking devices retailer or vape shop vendor. 3
340340
341341 (b) An electronic smoking devices retailer license authorizes the licensee to: 4
342342
343343 (1) sell electronic smoking devices to consumers; 5
344344
345345 (2) buy electronic smoking devices from [an] A LICENSED electronic 6
346346 smoking devices wholesaler distributor or LICENSED electronic smoking devices 7
347347 wholesaler importer; 8
348348
349349 (3) if the electronic smoking devices retailer licensee also holds a license to 9
350350 act as an electronic smoking devices manufacturer, sell at retail electronic smoking devices 10
351351 manufactured under the manufacturer license; and 11
352352
353353 (4) except as otherwise prohibited or restricted under local law, this article, 12
354354 the Criminal Law Article, or § 24–305 of the Health – General Article, distribute sample 13
355355 electronic smoking devices products to consumers in the State. 14
356356
357357 (c) An electronic smoking devices wholesaler distributor license or electronic 15
358358 smoking devices wholesaler importer license authorizes the licensee to: 16
359359
360360 (1) sell electronic smoking devices to LICENSED electronic smoking devices 17
361361 retailers and LICENSED vape shop vendors; 18
362362
363363 (2) buy electronic smoking devices directly from [an] A LICENSED 19
364364 electronic smoking devices manufacturer [and an], A LICENSED electronic smoking devices 20
365365 wholesaler distributor, or A LICENSED electronic smoking devices wholesaler importer; 21
366366
367367 (3) hold electronic smoking devices; and 22
368368
369369 (4) sell electronic smoking devices to another licensed electronic smoking 23
370370 devices wholesaler distributor or LICENSED electronic smoking devices wholesaler 24
371371 importer. 25
372372
373373 (d) A vape shop vendor license authorizes the licensee to: 26
374374
375375 (1) sell electronic smoking devices as a vape shop vendor to consumers on 27
376376 the premises of the licensee’s place of business; 28
377377
378378 (2) if the vape shop vendor licensee also holds a license to act as an 29
379379 electronic smoking devices manufacturer, sell at retail on the vape shop vendor premises 30
380380 electronic smoking devices manufactured under the manufacturer license; and 31
381381 HOUSE BILL 1441 9
382382
383383
384384 (3) buy electronic smoking devices from [an electronic smoking devices 1
385385 manufacturer, an] A LICENSED electronic smoking devices wholesaler distributor[,] or 2
386386 [an] A LICENSED electronic smoking devices wholesaler importer. 3
387387
388388 16.7–207. 4
389389
390390 (a) Subject to the hearing provisions of § 16.7–208 of this subtitle, the Executive 5
391391 Director may deny a license to an applicant, reprimand a licensee, or suspend or revoke a 6
392392 license if the applicant or licensee: 7
393393
394394 (1) fraudulently or deceptively obtains or attempts to obtain a license for 8
395395 the applicant, licensee, or another person; 9
396396
397397 (2) fraudulently or deceptively uses a license; 10
398398
399399 (3) buys electronic smoking devices for resale: 11
400400
401401 (i) in violation of a license; or 12
402402
403403 (ii) from a person [that is not a licensed electronic smoking devices 13
404404 manufacturer or a licensed electronic smoking devices wholesaler] IN VIOLATION OF § 14
405405 16.7–211(A) OF THIS SUBTITLE ; 15
406406
407407 (4) is convicted, under the laws of the United States or of any other state, 16
408408 of: 17
409409
410410 (i) a felony; or 18
411411
412412 (ii) a misdemeanor that is a crime of moral turpitude and is directly 19
413413 related to the fitness and qualification of the applicant or licensee; 20
414414
415415 (5) violates federal, State, or local law regarding the sale of electronic 21
416416 smoking devices; or 22
417417
418418 (6) violates this title, Title 16, or Title 16.5 of this article or regulations 23
419419 adopted under these titles. 24
420420
421421 (b) Subject to the hearing provisions of § 16.7–208 of this subtitle, the Executive 25
422422 Director shall deny a license to any applicant that has had a license revoked under this 26
423423 section until: 27
424424
425425 (1) 1 year has passed since the license was revoked; and 28
426426
427427 (2) [it] THE APPLICANT satisfactorily [appears] DEMONSTRATES to the 29
428428 Executive Director that the applicant will comply with this title and any regulations 30
429429 adopted under this title. 31 10 HOUSE BILL 1441
430430
431431
432432
433433 (c) Prior to the issuance or renewal of any license, the Executive Director shall 1
434434 conduct an investigation with regard to: 2
435435
436436 (1) the applicant; 3
437437
438438 (2) the business to be operated; and 4
439439
440440 (3) the facts set forth in the application. 5
441441
442442 16.7–213.1. 6
443443
444444 (a) (1) Subject to paragraph (2) of this subsection, the Maryland Department 7
445445 of Health or its designee shall conduct at least one unannounced inspection of licensed 8
446446 retailers or vape shop vendors to ensure the licensee’s compliance with the provisions of 9
447447 this title and § 10–107 of the Criminal Law Article each year. 10
448448
449449 (2) If a licensed retailer or vape shop vendor violates any provision of this 11
450450 title or § 10–107 of the Criminal Law Article, the Maryland Department of Health: 12
451451
452452 (I) shall conduct an additional unannounced inspection within 180 13
453453 days after the initial inspection; AND 14
454454
455455 (II) MAY REFER THE LICENS ED RETAILER OR VAPE SHOP 15
456456 VENDOR TO THE EXECUTIVE DIRECTOR FOR DISCIPLI NARY ACTION IN 16
457457 ACCORDANCE WITH § 16.7–207 OF THIS SUBTITLE . 17
458458
459459 (b) The Maryland Department of Health or its designee may use an individual 18
460460 under the age of 21 years to assist in conducting an inspection under this section. 19
461461
462462 (c) To determine the location of a licensed retailer or vape shop vendor subject to 20
463463 an unannounced inspection, the Maryland Department of Health or its designee shall use 21
464464 the list of licensed retailers or vape shop vendors as of December 31 of the previous calendar 22
465465 year. 23
466466
467467 (D) THE EXECUTIVE DIRECTOR MAY CONDUCT UNANNOUNCED 24
468468 INSPECTIONS OF A LIC ENSEE TO ENSURE THE LICENSEE’S COMPLIANCE WITH TH E 25
469469 PROVISIONS OF THIS T ITLE AND § 10–107 OF THE CRIMINAL LAW ARTICLE. 26
470470
471471 SUBTITLE 3. CERTIFICATION REQUIREMENTS FOR ELECTRONIC SMOKING 27
472472 DEVICES MANUFACTURERS . 28
473473
474474 16.7–301. 29
475475
476476 (A) IN THIS SUBTITLE THE FOLLOWING WORDS HAVE THE MEANINGS 30
477477 INDICATED. 31 HOUSE BILL 1441 11
478478
479479
480480
481481 (B) (1) “BRAND FAMILY ” MEANS ALL STYLES AND FLAVORS OF 1
482482 ELECTRONIC SMOKING D EVICES SOLD UNDER TH E SAME TRADEMARK , REGARDLESS 2
483483 OF WHETHER THE ELECT RONIC SMOKING DEVICE S ARE DIFFERENTIATED FROM 3
484484 ONE ANOTHER BY MEANS OF ADDITIONAL MODIFI ERS OR DESCRIPTORS D EPICTING 4
485485 FLAVORS, SHAPES, METHOD OF DELIVERY , DEVICE MODE L, POTENCY, NICOTINE 5
486486 LEVEL, OR ANY OTHER DIFFERE NTIATION. 6
487487
488488 (2) “BRAND FAMILY ” INCLUDES ANY USE OF A BRAND NAME , 7
489489 TRADEMARK , LOGO, SYMBOL, MOTTO, SELLING MESSAGE , RECOGNIZABLE PATTERN 8
490490 OF COLORS, OR ANY OTHER INDICIA OF PRODUCT IDENTIFIC ATION IDENTICAL OR 9
491491 SIMILAR TO OR IDENTIF IABLE WITH A PREVIOU SLY KNOWN BRAND OF E LECTRONIC 10
492492 SMOKING DEVICES , OTHER TOBACCO PRODUC TS, OR ELECTRONIC SMOKIN G DEVICE 11
493493 PRODUCTS. 12
494494
495495 (C) “BRAND STYLE” MEANS EACH INDIVIDUA L STYLE OR FLAVOR OF AN 13
496496 ELECTRONIC SMOKING D EVICE SOLD WITHIN A BRAND FAMILY , BUT 14
497497 DIFFERENTIATED FROM ONE ANOTHER BY MEANS OF ADDITIONAL ADJECT IVES, 15
498498 MODIFIERS, OR DESCRIPTORS , INCLUDING THOSE DEPI CTING FLAVORS , SHAPES, 16
499499 METHOD OF DELIVERY , DEVICE MODEL , POTENCY, OR NICOTINE LEVEL . 17
500500
501501 (D) “DIRECTORY” MEANS THE LIST PUBLI SHED BY THE ATTORNEY 18
502502 GENERAL OF APPROVED E LECTRONIC SMOKING DE VICES MANUFACTURERS THAT 19
503503 HAVE SUBMITTED A CER TIFICATION IN ACCORD ANCE WITH THIS SUBTI TLE AND THE 20
504504 BRAND FAMILIES AND B RAND STYLES OF THEIR ELECTRONIC SMOKING D EVICES 21
505505 THAT HAVE BEEN DETER MINED BY THE ATTORNEY GENERAL AS CONFORMING TO 22
506506 THE REQUIREMENTS OF § 16.7–302 OF THIS SUBTITLE. 23
507507
508508 16.7–302. 24
509509
510510 (A) AN ELECTRONIC SMOKING DEVICES MANUFACTURER WHOSE 25
511511 PRODUCTS ARE SOLD IN THE STATE SHALL EXECUTE A ND DELIVER, ON A FORM 26
512512 PRESCRIBED BY THE ATTORNEY GENERAL, A CERTIFICATION TO THE ATTORNEY 27
513513 GENERAL NOT LATER THA N JUNE 30 EACH YEAR. 28
514514
515515 (B) IN THE CERTIFICATION SUBMITTED TO THE ATTORNEY GENERAL 29
516516 UNDER THIS SECTION , THE ELECTRONIC SMOKI NG DEVICES MANUFACTU RER 30
517517 SHALL: 31
518518
519519 (1) IDENTIFY ALL OF ITS ELECTRONIC SMOKING D EVICE BRAND 32
520520 FAMILIES THAT ARE BE ING SOLD IN THE UNITED STATES AS OF THE DATE OF 33
521521 CERTIFICATION ; 34
522522 12 HOUSE BILL 1441
523523
524524
525525 (2) IDENTIFY ANY ELECTRO NIC SMOKING DEVICES BRAND FAMILY 1
526526 THAT THE ELECTRONIC SMOKING DEVICES MANU FACTURER SEEKS TO SE LL IN THE 2
527527 STATE IN THE UPCOMING FISCAL YEAR; 3
528528
529529 (3) INDICATE WITH AN AST ERISK ANY BRAND FAMI LY SOLD IN THE 4
530530 STATE DURING THE PREC EDING 3 CALENDAR YEARS THAT IS NO LONGER SOLD IN 5
531531 THE STATE AS OF THE DATE OF CERTIFICATION ; 6
532532
533533 (4) IF A BRAND FAMILY IN CLUDED IN THE CERTIF ICATION WAS MADE 7
534534 BY ANOTHER MANUFACTU RER IN THE PRECEDING 3 CALENDAR YEARS , IDENTIFY BY 8
535535 NAME AND ADDRESS THE OTHER MANUFACTURER ; 9
536536
537537 (5) INDICATE WHETHER THE ELECTRONIC SMOKING D EVICES BRAND 10
538538 FAMILY AND BRAND STYLE BEING CERTIFIED INCLUD ES AN AEROSOLIZING D EVICE 11
539539 OR THE VAPING LIQUID , NICOTINE SALT, OR OTHER CONSUMABLE SUBSTANCE TO 12
540540 BE AEROSOLIZED OR BO TH; 13
541541
542542 (6) PROVIDE IMAGES , SPECIFICATIONS , OR OTHER 14
543543 REPRESENTATIONS OF T HE SHAPE, DESIGN, LABELING AND PACKAGI NG, AND A 15
544544 SAMPLE OF EACH ELECT RONIC SMOKING DEVICE FOR EACH BRAND FAMIL Y 16
545545 INCLUDED IN THE CERT IFICATION; 17
546546
547547 (7) PROVIDE THE MARKETIN G, ADVERTISING, AND SOCIAL MEDIA 18
548548 PLANS OR OTHER MATER IALS FOR EACH BRAND FAMILY INCLUDED IN T HE 19
549549 CERTIFICATION ; 20
550550
551551 (8) PROVIDE ANY OTHE R INFORMATION NECESS ARY TO ENABLE THE 21
552552 ATTORNEY GENERAL TO DETERMINE WHETHER THE ELECTRON IC SMOKING DEVICE 22
553553 BRAND FAMILIES AND BRAND S TYLES BEING CERTIFIE D ARE INTENDED TO AP PEAL 23
554554 TO YOUTH, DISGUISE OR MISREPRE SENT THE NATURE OF T HE PRODUCT , CLAIM IN 24
555555 ANY WAY THAT THE ELECTRONIC SMOKING DEVICE IS A SMOKING CESSATION 25
556556 PRODUCT OR NICOTINE REPLACEMENT THERAPY , OR OTHERWISE DECEIVE 26
557557 CONSUMERS ; AND 27
558558
559559 (9) IDENTIFY ANY OTHER I NFORMATION REQUIRED BY THE 28
560560 ATTORNEY GENERAL TO CONFIRM TH AT THE ELECTRONIC SM OKING DEVICES 29
561561 MANUFACTURER AND ITS BR AND FAMILIES AND BRAND STYLES ARE IN COMPLIANCE 30
562562 WITH THIS TITLE AND ANY OTHER APPLICABLE FEDERAL, STATE, AND LOCAL LAWS . 31
563563
564564 (C) AN ELECTRONIC SMOKING DEVICES MANUFACTURER SHALL FURTHER 32
565565 CERTIFY THAT THE ELE CTRONIC SMOKING DEVI CES MANUFACT URER: 33
566566 HOUSE BILL 1441 13
567567
568568
569569 (1) IS REGISTERED TO DO BUSINESS IN THE STATE OR HAS 1
570570 APPOINTED A RESIDENT AGENT FOR SERVICE OF PROCESS AND PROVIDED NOTICE 2
571571 OF THE APPOINTMENT A S REQUIRED UNDER § 16.7–304 OF THIS SUBTITLE; 3
572572
573573 (2) IS LICENSED BY THE EXECUTIVE DIRECTOR TO OPERATE A S AN 4
574574 ELECTRONIC SMOKING D EVICES MANUFACTURER IN THE STATE; AND 5
575575
576576 (3) IS IN FULL COMPLIANC E WITH ALL APPLICABL E LOCAL, STATE, 6
577577 AND FEDERAL LAWS REG ARDING THE MANUFACTU RE AND SALE OF ELECT RONIC 7
578578 SMOKING DEVICES . 8
579579
580580 (D) (1) AN ELECTRONIC SMOKING DEVICES MANUFACT URER MAY NOT 9
581581 INCLUDE A BRAND FAMI LY OR BRAND STYLE IN ITS CERTIFICATION UN LESS IT 10
582582 AFFIRMS UNDER PENALT Y OF PERJURY THAT : 11
583583
584584 (I) IT IS THE ENTITY THA T FABRICATES , MANUFACTURES , 12
585585 MIXES, OR OTHERWISE PRODUCE S THE ELECTRONIC SMO KING DEVICES INCLUDE D 13
586586 IN THE CERTIFICATION; AND 14
587587
588588 (II) TO THE BEST OF THE E LECTRONIC SMOKING DE VICES 15
589589 MANUFACTURER ’S KNOWLEDGE , NO OTHER ELECTRONIC SMOKING DEVICES 16
590590 MANUFACTURER IS FABR ICATING, MANUFACTURING , MIXING, OR OTHERWISE 17
591591 PRODUCING ELECTRONIC SMOKING DEVICES FOR SALE IN THE UNITED STATES 18
592592 WITH THE SAME BRAND NAME AS A BRAND FAMI LY INCLUDED IN THE 19
593593 CERTIFICATION . 20
594594
595595 (2) NOTHING IN THIS SECTI ON MAY BE CONSTRUED AS LIMITING OR 21
596596 OTHERWISE AFFECTING THE STATE’S RIGHT TO REFUSE TO INCLUDE AN 22
597597 ELECTRONIC SMOKING D EVICE ON THE DIRECTO RY IF THE ATTORNEY GENERAL 23
598598 HAS REASON TO BELIEV E THAT A BRAND FAMIL Y OR BRAND STYLE INC LUDED IN A 24
599599 CERTIFICATION IS AN ELECTRONIC SMOKING D EVICE PRODUCED BY A DIFFERENT 25
600600 ELECTRONIC SMOKING D EVICES MANUFACTURER . 26
601601
602602 (E) (1) SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION , AN 27
603603 ELECTRONIC SMOKING D EVICES MANUFACTURER THAT HAS NOT PREVIOU SLY 28
604604 SUBMITTED A CERTIFIC ATION WITH THE STATE OR THAT IS NOT LISTED IN THE 29
605605 DIRECTORY MAY SUBMIT AN INITIAL CERTIFICA TION WITH THE ATTORNEY 30
606606 GENERAL AT ANY POINT DURING THE YEAR . 31
607607
608608 (2) AN ELECTRONIC SMOKING DEVICES MANUFACTURER THAT 32
609609 SUBMITS AN INITIAL C ERTIFICATION UNDER P ARAGRAPH (1) OF THIS SUBSECTION 33
610610 MUST SUBMIT AN ANNUA L CERTIFICATION IN A CCORDANCE WITH SUBSE CTION (A) 34
611611 OF THIS SECTION, UNLESS THE INITIAL C ERTIFICATION WAS SUB MITTED WITHIN 90 35 14 HOUSE BILL 1441
612612
613613
614614 DAYS OF THE DATE THE ANNUAL SUBMISSION IS REQUIRED UNDER SUBSE CTION (A) 1
615615 OF THIS SECTION. 2
616616
617617 (F) AN ELECTRONIC SMOKING DEVICES MANUFACTURER LISTED ON THE 3
618618 DIRECTORY SHALL UPDA TE ITS LISTING ON TH E DIRECTORY TO REFLE CT ANY 4
619619 MATERIAL CHANGES TO ITS CERTIFICATION , INCLUDING A CHANGE I N 5
620620 MANUFACTURING FACILI TY OR AN ADDITION TO , A DISCONTINUANCE FRO M, OR A 6
621621 MODIFICATION OF ITS LISTED ELECTRONIC SM OKING DEVICE BRAND F AMILIES OR 7
622622 BRAND STYLES BY EXEC UTING AND DELIVERING A SUPPLEMENTAL CERTI FICATION 8
623623 TO THE ATTORNEY GENERAL NOT LESS THAN 30 CALENDAR DAYS PRIOR TO THE 9
624624 CHANGE. 10
625625
626626 (G) (1) FOR EACH CERTIFICATIO N SUBMITTED UNDER SUBSECT ION (A) 11
627627 OF THIS SECTION, THE ELECTRONIC SMOKI NG DEVICES MANUFACTU RER SHALL PAY 12
628628 TO THE ATTORNEY GENERAL A FEE OF $1,000 FOR EACH ELECTRONIC SMOKING 13
629629 DEVICE BRAND STYLE THE MANUFACTUR ER IS APPLYING TO IN CLUDE IN THE 14
630630 DIRECTORY UNDER § 16.7–303 OF THIS SUBTITLE. 15
631631
632632 (2) THE REVENUES FROM THE CERTIFICATION FEE ES TABLISHED 16
633633 UNDER PARAGRAPH (1) OF THIS SUBSECTION S HALL BE DISTRIBUTED TO A SPECIAL 17
634634 FUND TO BE USED BY T HE OFFICE OF THE ATTORNEY GENERAL FOR ENFORCEME NT 18
635635 OF THIS SUBTITLE. 19
636636
637637 16.7–303. 20
638638
639639 (A) EXCEPT AS PROVIDED IN SUBSECTION (B)(1) AND (2) OF THIS SECTION, 21
640640 THE ATTORNEY GENERAL SHALL DEVELOP AND MAKE AVAILABLE F OR PUBLIC 22
641641 INSPECTION A DIRECTO RY LISTING ALL ELECT RONIC SMOKING DEVICE S 23
642642 MANUFACTURERS THAT H AVE PROVIDED CURRENT AND ACCURATE 24
643643 CERTIFICATIONS COMPLYING W ITH THE REQUIREMENTS OF § 16.7–302 OF THIS 25
644644 SUBTITLE AND ALL APP ROVED ELECTRONIC SMO KING DEVICE BRAND FA MILIES AND 26
645645 BRAND STYLES INCLUDE D IN THE CERTIFICATI ONS. 27
646646
647647 (B) (1) THE ATTORNEY GENERAL MAY NOT INCLU DE OR RETAIN ON THE 28
648648 DIRECTORY ANY BRAND FAMILIES OR BR AND STYLES OF ANY EL ECTRONIC SMOKING 29
649649 DEVICES MANUFACTURER THAT FAILS TO PROVID E THE REQUIRED CERTI FICATION 30
650650 OR FEE OR WHOSE CERT IFICATION THE ATTORNEY GENERAL DETERMINES IS NOT 31
651651 IN COMPLIANCE WITH § 16.7–302 OF THIS SUBTITLE , UNLESS THE ATTORNEY 32
652652 GENERAL HAS DETERMINE D THAT THE DEFICIENCY HAS BEEN CURED TO TH E 33
653653 SATISFACTION OF THE ATTORNEY GENERAL. 34
654654
655655 (2) THE ATTORNEY GENERAL SHALL UPDATE THE DIRECTORY AS 35
656656 NECESSARY TO CORRECT MISTAKES AND TO ADD OR REMOVE AN ELECTRO NIC 36 HOUSE BILL 1441 15
657657
658658
659659 SMOKING DEVICES MANUFACTURER OR ANY BRAND FAMILY OR BRAN D STYLE OF AN 1
660660 ELECTRONIC SMOKING D EVICE TO KEEP THE DI RECTORY IN CONFORMIT Y WITH THE 2
661661 REQUIREMENTS OF THIS SUBTITLE. 3
662662
663663 (3) EACH LICENSED ELECTRO NIC SMOKING DEVICES WHOLESALER 4
664664 DISTRIBUTOR AND LICE NSED ELECTRONIC SMOK ING DEVICES WHOLESALE R 5
665665 IMPORTER SHALL PROVI DE TO THE ATTORNEY GENERAL, AND UPDATE AS 6
666666 NECESSARY, CURRENT CONTACT INFO RMATION FOR THE PURP OSE OF RECEIVING 7
667667 ANY NOTIFICATIONS TH AT MAY BE REQUIRED B Y THIS SUBTITLE , INCLUDING A 8
668668 POINT OF CONTACT PER SON, A PHYSICAL LOCATION, AND AN E–MAIL ADDRESS . 9
669669
670670 (C) AN ELECTRONIC SMOKING DEVICES MANUFACTURER , AN ELECTRONIC 10
671671 SMOKING DEVICES WHOL ESALER DISTRIBUTOR , AND AN ELECTRONIC SM OKING 11
672672 DEVICES WHOLESALER I MPORTER SHALL MAINTA IN ALL INVOICES AND 12
673673 DOCUMENTATION OF SAL ES, ALL APPR OVAL LETTERS AND UND ERLYING 13
674674 APPLICATIONS AND MAT ERIALS, AND ANY OTHER INFORM ATION RELIED ON FOR ITS 14
675675 CERTIFICATION FOR A MINIMUM PERIOD OF 5 YEARS, UNLESS OTHERWISE 15
676676 REQUIRED BY LAW TO M AINTAIN THEM FOR A G REATER PERIOD OF TIM E. 16
677677
678678 (D) A PERSON MAY NOT SELL , OFFER FOR SALE , POSSESS FOR SALE IN THE 17
679679 STATE, OR IMPORT FOR PERSON AL CONSUMPTION IN TH E STATE, ANY: 18
680680
681681 (1) ELECTRONIC SMOKING D EVICE, BRAND FAMILY , OR BRAND STYLE 19
682682 NOT INCLUDED ON THE DIRECTORY; OR 20
683683
684684 (2) ELECTRONIC SMOKING D EVICES MANUFACTURED BY AN 21
685685 ELECTRONIC SMOKING D EVICES MANUFACTURER THAT IS NOT INCLUDED ON THE 22
686686 DIRECTORY. 23
687687
688688 (E) ANY ELECTRONIC SMOKIN G DEVICE, BRAND FAMILY , OR BRAND STYLE 24
689689 NOT INCLUDED ON THE DIRECTORY: 25
690690
691691 (1) SHALL BE DEEMED CONT RABAND UNDER §§ 13–836, 13–837, AND 26
692692 13–839 OF THE TAX – GENERAL ARTICLE; 27
693693
694694 (2) MAY NOT BE PURCHASED OR SOLD IN THE STATE; AND 28
695695
696696 (3) MAY BE SUBJECT TO SE IZURE, FORFEITURE, AND DISPOSAL. 29
697697
698698 16.7–304. 30
699699
700700 (A) (1) ANY NONRESIDENT OR FO REIGN ELECTRONIC SMO KING DEVICES 31
701701 MANUFACTURER THAT HA S NOT REGISTERED TO DO BUSINESS IN THE STATE AS A 32 16 HOUSE BILL 1441
702702
703703
704704 FOREIGN CORPORATION OR BUSINESS ENTITY S HALL APPOINT , AND CONTINUALLY 1
705705 ENGAGE WITHOUT INTER RUPTION, THE SERVICES OF AN A GENT IN THE STATE TO 2
706706 ACT AS AN AGENT FOR THE SERVICE OF PROCE SS ON THE NONRESIDEN T OR 3
707707 FOREIGN ELECTRONIC S MOKING DEVICES MANUFACTURER BEFORE ITS BRAND 4
708708 FAMILIES OR BRAND ST YLES MAY BE INCLUDED OR RETAINED ON THE D IRECTORY 5
709709 DESCRIBED IN § 16.7–303 OF THIS SUBTITLE . 6
710710
711711 (2) ANY PROCESS AND ANY A CTION OR PROCEEDING AGAINST A 7
712712 NONRESIDENT OR FOREI GN ELECTRONIC SMOKIN G DEVICES MANUFACTURER 8
713713 CONCERNING OR ARISIN G OUT OF THE ENFORCE MENT OF THIS SUBTITL E OR THIS 9
714714 ARTICLE MAY BE SERVE D IN ANY MANNER AUTH ORIZED BY LAW. 10
715715
716716 (3) (I) THE SERVICE OF PROCES S ON THE DESIGNATED AGENT 11
717717 SHALL CONSTITUTE LEG AL AND VALID SERVICE OF PROCESS ON TH E ELECTRONIC 12
718718 SMOKING DEVICES MANU FACTURER. 13
719719
720720 (II) THE ELECTRONIC SMOKIN G DEVICES MANUFACTUR ER 14
721721 SHALL PROVIDE , TO THE SATISFACTION OF THE EXECUTIVE DIRECTOR AND THE 15
722722 ATTORNEY GENERAL, THE NAME, ADDRESS, TELEPHONE NUMBER , AND PROOF OF 16
723723 THE APPOINTMENT AND AVAILABILITY OF THE AGE NT TO THE EXECUTIVE 17
724724 DIRECTOR AND THE ATTORNEY GENERAL. 18
725725
726726 (B) (1) THE ELECTRONIC SMOKIN G DEVICES MANUFACTUR ER SHALL 19
727727 PROVIDE: 20
728728
729729 (I) NOTICE TO THE EXECUTIVE DIRECTOR AND THE ATTORNEY 21
730730 GENERAL NOT LESS THAN 30 CALENDAR DAYS PRIOR TO THE TERMINATION OF THE 22
731731 AUTHORITY OF AN AGEN T; AND 23
732732
733733 (II) PROOF TO THE SATISFA CTION OF THE ATTORNEY GENERAL 24
734734 OF THE APPOINTMENT O F A NEW AGENT NOT LE SS THAN 5 CALENDAR DAYS PRIOR 25
735735 TO THE TERMINATION O F AN EXISTING AGENT APPOINTMENT . 26
736736
737737 (2) IF AN AGENT TERMINATE S AN AGENCY APPOINTMEN T, THE 27
738738 ELECTRONIC SMOKING D EVICES MANUFACTURER SHALL: 28
739739
740740 (I) NOTIFY THE EXECUTIVE DIRECTOR AND THE ATTORNEY 29
741741 GENERAL OF THE TERMIN ATION WITHIN 5 CALENDAR DAYS ; AND 30
742742
743743 (II) INCLUDE PROOF TO THE SATISFACTION OF THE ATTORNEY 31
744744 GENERAL OF TH E APPOINTMENT OF A N EW AGENT. 32
745745
746746 16.7–305. 33 HOUSE BILL 1441 17
747747
748748
749749
750750 (A) (1) NOT LATER THAN 21 DAYS AFTER THE END O F EACH CALENDAR 1
751751 MONTH, OR OTHER REPORTING P ERIOD ESTABLISHED BY THE ATTORNEY GENERAL, 2
752752 EACH LICENSED ELECTR ONIC SMOKING DEVICES WHOLESALER DISTRIBUT OR AND 3
753753 LICENSED ELECTRONIC SMOKING DEVICES MANU FACTURER THAT ALSO H OLDS A 4
754754 LICENSE TO ACT AS AN ELECTRONIC SMOKING D EVICES RETAILER OR V APE SHOP 5
755755 VENDOR SHALL SUBMIT TRUE AN D ACCURATE INFORMATI ON IN THE FORM AND 6
756756 MANNER THE ATTORNEY GENERAL REQUIRES TO F ACILITATE COMPLIANCE WITH 7
757757 THIS SUBTITLE, INCLUDING A LIST BY BRAND FAMILY AND BRA ND STYLE OF THE 8
758758 TOTAL QUANTITY OF EL ECTRONIC SMOKING DEV ICES SOLD DURING THE 9
759759 REPORTING PERIOD BY THE LICENSED ELEC TRONIC SMOKING DEVIC ES 10
760760 WHOLESALER DISTRIBUT OR TO: 11
761761
762762 (I) A LICENSED ELECTRONIC SMOKING D EVICES RETAILER OR 12
763763 LICENSED VAPE SHOP V ENDOR; OR 13
764764
765765 (II) THE LICENSED ELECTRO NIC SMOKING DEVICES 14
766766 MANUFACTURER THAT AL SO HOLDS A LICENSE T O ACT AS AN ELECTRON IC SMOKING 15
767767 DEVICES RETAILER OR VAPE SHOP VENDOR . 16
768768
769769 (2) A LICENSED ELECTRONIC SMOKING DEVICES WHOL ESALER 17
770770 DISTRIBUTOR OR LICENSED ELECTRON IC SMOKING DEVICES M ANUFACTURER THAT 18
771771 ALSO HOLDS A LICENSE TO ACT AS AN ELECTRO NIC SMOKING DEVICES RETAILER OR 19
772772 VAPE SHOP VENDOR SHALL MAINTAIN AND M AKE AVAILABLE TO THE EXECUTIVE 20
773773 DIRECTOR, THE ATTORNEY GENERAL, AND THE COMPTROLLER FOR A PER IOD OF 5 21
774774 YEARS ALL INVOICES A ND DOCUMENTATION OF SALES OF ALL ELECTRO NIC 22
775775 SMOKING DEVICES AND ANY OTHER INFORMATIO N RELIED ON IN REPOR TING TO 23
776776 THE EXECUTIVE DIRECTOR, THE ATTORNEY GENERAL, AND THE COMPTROLLER . 24
777777
778778 (B) (1) THE ATTORNEY GENERAL MAY DISCLOSE TO THE EXECUTIVE 25
779779 DIRECTOR AND THE COMPTROLLER ANY INFOR MATION RECEIVED UNDE R THIS 26
780780 SUBTITLE AND REQUEST ED BY THE EXECUTIVE DIRECTOR OR THE COMPTROLLER 27
781781 FOR THE PURPOSES OF DETERMINING COMPLIAN CE WITH AND ENFORCEM ENT OF 28
782782 THE PROVISIONS OF THI S SUBTITLE. 29
783783
784784 (2) THE EXECUTIVE DIRECTOR, THE COMPTROLLER , AND THE 30
785785 ATTORNEY GENERAL, ONLY FOR PURPOSES OF ENFORCEMENT OF THIS TITLE OR 31
786786 CORRESPONDING LAWS O F OTHER STATES : 32
787787
788788 (I) SHALL SHARE WITH EAC H OTHER THE INFORMAT ION 33
789789 RECEIVED UND ER THIS SUBTITLE OR TITLE 11 OF THE TAX – GENERAL ARTICLE; 34
790790 AND 35
791791 18 HOUSE BILL 1441
792792
793793
794794 (II) MAY SHARE THE INFORM ATION WITH OTHER FED ERAL, 1
795795 STATE, OR LOCAL AGENCIES . 2
796796
797797 (C) IN ADDITION TO ANY OT HER INFORMATION REQU IRED TO BE 3
798798 SUBMITTED BY LAW , THE EXECUTIVE DIRECTOR OR THE ATTORNEY GENERAL MAY 4
799799 REQUIRE A LICENSEE TO SUBMIT ANY ADDITI ONAL INFORMATION , INCLUDING 5
800800 INVOICES, RECEIPTS, CORRESPONDENCE , CONFIRMATIONS OF APP ROVAL, 6
801801 MARKETING, ADVERTISING MATERIAL S, AND SAMPLES OF PACKA GING OR LABELING 7
802802 OF EACH BRAND FAMILY , AS IS NECESSARY TO ENABLE THE ATTORNEY GENERAL TO 8
803803 DETERMINE WHETHER A LICENSED ELECTRONIC SMOKING DEVICES 9
804804 MANUFACTURER IS IN C OMPLIANCE WITH THIS SUBTITLE AND ALL OTH ER 10
805805 APPLICABLE FEDERAL , STATE, AND LOCAL LAWS . 11
806806
807807 (D) THE EXECUTIVE DIRECTOR, THE ATTORNEY GENERAL, OR THE 12
808808 COMPTROLLER MAY ADOPT R EGULATIONS REQUIRING A LICENSEE TO SUBMIT ANY 13
809809 ADDITIONAL INFORMATI ON OR DOCUMENTATION AS NECESSARY TO DETE RMINE 14
810810 THE ACCURACY OF ANY INFORMATION SUBMITTE D OR OTHERWISE PROMO TE 15
811811 COMPLIANCE WITH THIS SUBTITLE. 16
812812
813813 16.7–306. 17
814814
815815 (A) (1) BEFORE INCLUSION ON THE DIR ECTORY UNDER § 16.7–303 OF 18
816816 THIS SUBTITLE , A LICENSED ELECTRONI C SMOKING DEVICES MA NUFACTURER 19
817817 SHALL DEPOSIT AND MA INTAIN $75,000 IN AN ESCROW FUND ES TABLISHED AT A 20
818818 FEDERALLY OR STATE CHARTERED FINAN CIAL INSTITUTION AND GOVERNED BY A 21
819819 QUALIFIED ESCROW AGREEME NT THAT HAS BEEN REV IEWED AND APPROVED B Y 22
820820 THE ATTORNEY GENERAL. 23
821821
822822 (2) THE ATTORNEY GENERAL MAY AUTHORIZE A REDUCTION OF THE 24
823823 AMOUNT REQUIRED TO B E DEPOSITED INTO A Q UALIFIED ESCROW FUND BY A 25
824824 LICENSED ELECTRONIC SMOKING DEVICES MANU FACTURER OF UP TO $50,000 IF 26
825825 THE ELECTRONIC SMOKI NG DEVICE BRAND FAMI LIES AND BRAND STYLES 27
826826 INCLUDED IN THE MANU FACTURER’S CERTIFICATION SUBM ITTED UNDER THIS 28
827827 SUBTITLE HAVE RECEIV ED A FINAL MARKETING ORDER AND ARE AUTHOR IZED BY 29
828828 THE FEDERAL FOOD AND DRUG ADMINISTRATION. 30
829829
830830 (B) A LICENSED ELECTRONIC SMOKING DEVICES MANU FACTURER THAT 31
831831 PLACES FUNDS INTO ES CROW IN ACCORDANCE W ITH SUBSECTION (A) OF THIS 32
832832 SECTION SHALL RECEIV E THE INTEREST OR OT HER APPRECIATION ON THE FUNDS 33
833833 AS EARNED. 34
834834
835835 (C) THE ATTORNEY GENERAL MAY RELEASE THE FUNDS FROM ESCRO W 35
836836 ONLY TO: 36 HOUSE BILL 1441 19
837837
838838
839839
840840 (1) THE EXECUTIVE DIRECTOR TO SATISFY A NY UNPAID COSTS 1
841841 ARISING OUT OF THE C OLLECTION, SEIZURE, STORAGE, DISPOSAL, OR OTHER 2
842842 ENFORCEMENT COSTS RE SULTING FROM A VIOLA TION OF AN APPLICABL E FEDERAL, 3
843843 STATE, OR LOCAL LAW BY THE LICENSED ELECTRONIC SMOKING DEVICES 4
844844 MANUFACTURER ; OR 5
845845
846846 (2) A LICENSED ELECTRONI C SMOKING DEVICES MA NUFACTURER IF 6
847847 THE LICENSED ELECTRO NIC SMOKING DEVICES MANUFACTURER : 7
848848
849849 (I) ELECTS TO CEASE SELL ING ELECTRONIC SMOKI NG DEVICES 8
850850 IN THE STATE; 9
851851
852852 (II) DEMONSTRATES TO THE SATISFACTION OF THE ATTORNEY 10
853853 GENERAL THAT THE LICE NSED ELECTRONIC SMOK ING DEVICES MANUFACT URER 11
854854 HAS REMOVED ALL BRAN D FAMILIES AND BRAND STYLES MANUFACTURED BY THE 12
855855 LICENSED ELECTRONIC SMOKING DEVICES MANU FACTURER FROM THE STATE; AND 13
856856
857857 (III) APPLIES TO THE ATTORNEY GENERAL FOR A RELEASE OF 14
858858 THE FUNDS IN ESCROW . 15
859859
860860 (D) (1) EACH LICENSED ELECTRO NIC SMOKING DEVICES 16
861861 MANUFACTURER THAT PL ACES FUNDS INTO ESCR OW IN ACCORDANCE WIT H 17
862862 SUBSECTION (A) OF THIS SECTION SHAL L ANNUALLY CERTIFY T O THE ATTORNEY 18
863863 GENERAL THAT IT IS IN COMPLIANCE WITH SUBS ECTION (A) OF THIS SECTION. 19
864864
865865 (2) IF THE ATTORNEY GENERAL NOTIFIES A LI CENSED ELECTRONIC 20
866866 SMOKING DEVICES MANU FACTURER THAT THE AM OUNT IN ESCROW HAS F ALLEN 21
867867 BELOW THE APPLICABLE AMOUNT REQUIRED UNDE R SUBSECTION (A) OF THIS 22
868868 SECTION, THE LICENSED ELECTRO NIC SMOKING DEVICES MANUFACTURER SHALL 23
869869 BRING THE AMOUNT IN ESCROW INTO COMPLIAN CE WITHIN 15 DAYS. 24
870870
871871 (3) THE ATTORNEY GENERAL MAY BRING A C IVIL ACTION ON BEHAL F 25
872872 OF THE STATE AGAINST ANY LIC ENSED ELECTRONIC SMO KING DE VICES 26
873873 MANUFACTURER THAT FA ILS TO PLACE INTO ES CROW THE FUNDS REQUI RED UNDER 27
874874 SUBSECTION (A) OF THIS SECTION. 28
875875
876876 (4) (I) A LICENSED ELECTRONIC SMOKING DEVICES 29
877877 MANUFACTURER THAT FA ILS TO PLACE INTO ES CROW THE FUNDS REQUI RED UNDER 30
878878 SUBSECTION (A) OF THIS SECTION SHALL BE REQ UIRED WITHIN 15 DAYS TO PLACE 31
879879 SUCH FUNDS INTO ESCR OW SO AS TO BRING TH E MANUFACTURER INTO 32
880880 COMPLIANCE WITH THIS SECTION. 33
881881 20 HOUSE BILL 1441
882882
883883
884884 (II) EACH DAY THAT A LICEN SED ELECTRONIC SMOKI NG 1
885885 DEVICES MANUFACTURER IS LISTED ON THE DIR ECTORY AND HAS LESS THAN THE 2
886886 AMOUNT REQUIRED TO B E MAINTAINED IN AN E SCROW ACCOUNT UNDER 3
887887 SUBSECTION (A) OF THIS SECTION SHAL L BE A SEPARATE VIOL ATION. 4
888888
889889 (III) THE COURT, ON A FINDING OF A VI OLATION OF SUBSECTIO N 5
890890 (A) OF THIS SECTION, MAY IMPOSE A CIVIL P ENALTY TO BE PAID TO THE GENERAL 6
891891 FUND OF THE STATE OF $500 FOR EACH DAY OF EACH VIOLATION. 7
892892
893893 16.7–307. 8
894894
895895 (A) A DETERMINATION BY THE ATTORNEY GENERAL TO OMIT OR TO 9
896896 DELETE FROM THE DIRE CTORY DESCRIBED IN § 16.7–303 OF THIS SUBTITLE A 10
897897 BRAND FAMILY , A BRAND STYLE , OR AN ELECTRONIC SM OKING DEVICES 11
898898 MANUFACTURER SHALL B E SUBJECT TO REVIEW IN ACCORDANCE WITH TITLE 10, 12
899899 SUBTITLE 2 OF THE STATE GOVERNMENT ARTICLE. 13
900900
901901 (B) (1) THE ATTORNEY GENERAL MAY NOT REMOV E A BRAND FAMILY , A 14
902902 BRAND STYLE, OR AN ELECTRONIC SMO KING DEVICES MANUFAC TURER FROM T HE 15
903903 DIRECTORY UNTIL AT L EAST 15 DAYS AFTER THE ELECT RONIC SMOKING DEVICE S 16
904904 MANUFACTURER IS GIVE N NOTICE OF THE INTE NDED ACTION. 17
905905
906906 (2) NOTICE UNDER THIS SUB SECTION SHALL BE SUF FICIENT AND 18
907907 SHALL BE DEEMED RECE IVED BY AN ELECTRONI C SMOKING DEVICES 19
908908 MANUFACTURE R IF THE NOTICE IS S ENT ELECTRONICALLY T O THE ELECTRONIC 20
909909 SMOKING DEVICES MANU FACTURER’S E–MAIL ADDRESS FROM TH E MOST RECENT 21
910910 CERTIFICATION FILED , TO THE ELECTRONIC SM OKING DEVICES MANUFA CTURER’S 22
911911 ADDRESS FROM THE MOS T RECENT CERTIFICATI ON FILED, OR TO THE 23
912912 MANUFACTURER ’S REGISTERED AGENT F OR SERVICE OF PROCES S IN THE STATE. 24
913913
914914 (C) (1) IF THE ATTORNEY GENERAL REMOVES A BRA ND FAMILY, A 25
915915 BRAND STYLE, OR AN ELECTRONIC SMO KING DEVICE FROM THE DIRECTORY, EACH 26
916916 LICENSED RETAILER AN D LICENSED VAPE SHOP VENDOR SHALL HAVE 15 DAYS TO 27
917917 REMOVE THE PRODUCT F ROM ITS INVENTORY AN D RETURN THE PRODUCT TO THE 28
918918 ELECTRONIC SMOKING D EVICES MANUFACTURER FOR DISPOSAL. 29
919919
920920 (2) AFTER 15 DAYS FOLLOWING THE R EMOVAL OF A BRAND FA MILY, 30
921921 A BRAND STYLE , OR AN ELECTRONIC SMO KING DEVICE FROM THE DIRECTORY, THE 31
922922 PRODUCT: 32
923923
924924 (I) SHALL BE DEEMED CONT RABAND UNDER §§ 13–836, 33
925925 13–837, AND 13–839 OF THE TAX – GENERAL ARTICLE; 34
926926 HOUSE BILL 1441 21
927927
928928
929929 (II) MAY NOT BE PURCHASED OR SOLD IN THE STATE; AND 1
930930
931931 (III) MAY BE SUBJECT TO SE IZURE, FORFEITURE, AND DISPOSAL. 2
932932
933933 (D) IN ANY ACTION BROUGHT BY THE STATE TO ENFORCE THIS SUBTITLE, 3
934934 THE STATE SHALL BE ENTITL ED TO RECOVER THE CO STS OF SEIZURE, STORAGE, 4
935935 AND DISPOSAL , EXPERT WITNESS FEES , COSTS OF THE ACTION , AND REASONABLE 5
936936 ATTORNEY’S FEES. 6
937937
938938 (E) (1) IF A COURT OR OTHER A DJUDICATIV E BODY DETERMINES TH AT A 7
939939 PERSON HAS VIOLATED THIS SUBTITLE, THE COURT OR OTHER A DJUDICATIVE BODY 8
940940 SHALL ORDER ANY PROF ITS, GAIN, GROSS RECEIPTS , OR OTHER BENEFIT FRO M THE 9
941941 VIOLATION TO BE PAID TO THE ATTORNEY GENERAL. 10
942942
943943 (2) UNLESS OTHERWISE EXPR ESSLY PROVIDED, THE REMEDIES OR 11
944944 PENALTIES PROVIDED B Y THIS SUBTITLE ARE CUMULATIVE TO EACH O THER AND TO 12
945945 THE REMEDIES OR PENA LTIES AVAILABLE UNDE R ALL OTHER LAWS OF THE STATE. 13
946946
947947 16.7–308. 14
948948
949949 THE ATTORNEY GENERAL OR THE EXECUTIVE DIRECTOR MAY ADOPT 15
950950 REGULATIONS TO CA RRY OUT THIS SUBTITL E. 16
951951
952952 16.7–309. 17
953953
954954 (A) IN ADDITION TO OR INS TEAD OF ANY OTHER CI VIL OR CRIMINAL 18
955955 REMEDY PROVIDED BY L AW: 19
956956
957957 (1) SUBJECT TO THE HEARI NG PROVISIONS OF § 16.7–208 OF THIS 20
958958 TITLE, ON A DETERMINATION T HAT A LICENSEE HAS V IOLATED § 16.7–303(D) OF 21
959959 THIS SUBTITLE OR ANY REGULATION ADOPTED U NDER THIS TITLE, OR A LICENSED 22
960960 ELECTRONIC SMOKING D EVICES WHOLESALER DI STRIBUTOR OR LICENSE D 23
961961 ELECTRONIC SMOKING D EVICES MANUFACTURER HAS VIOLATED § 16.7–305(A) OF 24
962962 THIS SUBTITLE, THE EXECUTIVE DIRECTOR MAY IMPOSE A CIVIL PENALTY IN AN 25
963963 AMOUNT NOT EXCEEDING THE GREATER OF : 26
964964
965965 (I) 500% OF THE RETAIL VALUE OF THE ELECTRONIC SM OKING 27
966966 DEVICES THAT ARE THE SUBJECT OF THE VIOLA TION; OR 28
967967
968968 (II) $5,000; AND 29
969969
970970 (2) ON A DETERMINATION T HAT A LICENSEE HAS C OMMITTED A 30
971971 SUBSEQUENT V IOLATION WITHIN 2 YEARS AFTER A VIOLAT ION OF § 16.7–303(D) OR 31 22 HOUSE BILL 1441
972972
973973
974974 § 16.7–305(A) OF THIS SUBTITLE OR ANY REGULATION ADOPT ED UNDER THIS TITLE , 1
975975 THE EXECUTIVE DIRECTOR MAY REVOKE O R SUSPEND THE LICENS E OF THE 2
976976 LICENSEE IN THE MANN ER PROVIDED UNDER § 16.7–209 OF THIS TITLE. 3
977977
978978 (B) EACH SALE OF AND EACH OFFER TO SELL ELECTR ONIC SMOKING 4
979979 DEVICES IN VIOLATION OF § 16.7–303(D) OF THIS SUBTITLE SHA LL CONSTITUTE A 5
980980 SEPARATE VIOLATION . 6
981981
982982 (C) IN ADDITION TO ANY PE NALTIES OTHERWISE PR OVIDED BY LAW , A 7
983983 VIOLATION OF § 16.7–303(D) OF THIS SUBTITLE IS: 8
984984
985985 (1) AN UNFAIR, ABUSIVE, OR DECEPTIVE TRADE P RACTICE WITHIN 9
986986 THE MEANING OF TITLE 13 OF THE COMMERCIAL LAW ARTICLE; AND 10
987987
988988 (2) SUBJECT TO THE ENFOR CEMENT AND PENALTY P ROVISIONS 11
989989 CONTAINED IN TITLE 13 OF THE COMMERCIAL LAW ARTICLE. 12
990990
991991 (D) THE ATTORNEY GENERAL, ON THE ATTORNEY GENERAL’S OWN 13
992992 INITIATIVE OR ON BEHALF OF THE EXECUTIVE DIRECTOR, MAY SEEK AN 14
993993 INJUNCTION TO RESTRA IN A THREATENED OR A CTUAL VIOLATION OF § 16.7–303(D) 15
994994 OR § 16.7–305(A) OR (D) OF THIS SUBTITLE BY A LICENSEE AND COMPE L THE 16
995995 LICENSEE TO COMPLY WITH THOSE SECTIONS. 17
996996
997997 (E) (1) EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS SUBSECTION , A 18
998998 PERSON WHO SELLS , DISTRIBUTES, ACQUIRES, HOLDS, OWNS, POSSESSES, 19
999999 TRANSPORTS , IMPORTS, OR CAUSES TO BE IMPO RTED ELECTRONIC SMOK ING 20
10001000 DEVICES FOR RESALE TO A CONSUMER THAT THE PERSON KNOW S OR SHOULD HAVE 21
10011001 KNOWN ARE INTENDED F OR DISTRIBUTION OR S ALE IN THE STATE IN VIOLATION OF 22
10021002 § 16.7–303(D) OF THIS SUBTITLE IS GUILTY OF A MISDEMEA NOR AND ON 23
10031003 CONVICTION IS SUBJEC T TO A FINE NOT EXCE EDING $5,000 OR IMPRISONMENT NOT 24
10041004 EXCEEDING 1 YEAR OR BOTH. 25
10051005
10061006 (2) THE PENALTIES IN PARA GRAPH (1) OF THIS SUBSECTION D O NOT 26
10071007 APPLY TO A PERSON WH O POSSESSES LESS THA N $100 WORTH OF ELECTRONIC 27
10081008 SMOKING DEVICES SOLE LY FOR PERSONAL CONS UMPTION AND NOT FOR RESALE TO 28
10091009 A CONSUMER . 29
10101010
10111011 Article – Commercial Law 30
10121012
10131013 13–301. 31
10141014
10151015 Unfair, abusive, or deceptive trade practices include any: 32
10161016
10171017 (14) Violation of a provision of: 33 HOUSE BILL 1441 23
10181018
10191019
10201020
10211021 (xlii) Section 12–6C–09.1 of the Health Occupations Article; [or] 1
10221022
10231023 (xliii) Title 14, Subtitle 48 of this article; or 2
10241024
10251025 (XLIV) SECTION 16.7–303(D) OF THE BUSINESS 3
10261026 REGULATION ARTICLE; OR 4
10271027
10281028 SECTION 2. AND BE IT FURTHER ENACTED, That, if any provision of this Act or 5
10291029 the application of any provision of this Act to any person or circumstance is held invalid for 6
10301030 any reason in a court of competent jurisdiction, the invalidity does not affect other 7
10311031 provisions or any other application of this Act that can be given effect without the invalid 8
10321032 provision or application, and for this purpose the provisions of this Act are declared 9
10331033 severable. 10
10341034
10351035 SECTION 3. AND BE IT FURTHER ENACTED, That this Act shall take effect 11
10361036 October 1, 2025. 12
10371037