Maryland Home Improvement Salesperson (MHIC)

Key Concepts

Definition & scope (Subtitle 1). "Home improvement" includes construction, improvement or replacement on land adjacent to the building of a driveway, fall-out shelter, fence, garage, landscaping, deck, pier, porch or swimming pool (§8-101(g)(2)(i)), and installation in a building of an awning, fire alarm, or storm window (§8-101(g)(2)(iv)). Excluded: new home construction (§8-101(g)(3)(i)), commonly owned areas of condominiums (§8-101(g)(3)(vi)), and the sale of materials only if the seller does not arrange or perform the installation (§8-101(g)(3)(iv)). "Owner" includes a homeowner, tenant, or other person who buys, contracts for, orders, or is entitled to a home improvement (§8-101(k)). The Law does not apply to transactions involving the United States, or a state or its instrumentality/political subdivision (§8-102). The Commission asks whether work (1) adds value to the residence and (2) would remain with the property if sold. Handymen are not exempt.

Commission (Subtitle 2). Members must have been a citizen and resident of the State at least 5 years before appointment (§8-202(b)); of the nine members at least one has banking or finance experience (§8-202(a)(2)(ii)); the Governor shall remove a member who did not attend at least two-thirds of meetings held the prior year while serving (§8-202(g)(2)). Office is in Baltimore City (§8-204(e)). Regulations explain the law but cannot expand Commission authority (§8-207). In injunction suits against unlicensed persons, the Commission need not post bond or show no adequate remedy at law (§8-208(b)(2)).

Licensing (Subtitle 3; Chapter 6, pages 6-1–6-2). Contractors need at least 2 years of trade experience or comparable educational training (§8-302.2); a completed vocational training or building trade work-study program substitutes for one year. Pass the PSI exam with at least 70%; scores valid 2 years; wait 30 days after a first failure, 60 days after each subsequent failure (COMAR 09.08.01.16(C)/Summary page 1-6 — note the actual regulation says 21 days). Proof of $500,000 liability insurance is required at original and renewal; notice of insurance cancellation to the Commission at least 10 days before the effective date. License period is 2 years. Denial → request a hearing within 10 days after the notice is mailed; hearing held within 30 days (§8-305(b)(1)). Out-of-state applicants pay the higher home-state nonresident fee (§8-303(f)). Report change of ownership control, management, address or trade name within 10 days (§8-309). Wage employees who are not salespersons are exempt (§8-301(c)(1)). No salesperson license issues without written notice signed by both contractor and salesperson…

Maryland Home Improvement Salesperson (MHIC)

Key Concepts

Definition of a door-to-door sale (§14-301(d)). A sale, lease, or rental of consumer goods or consumer services under single or multiple contracts with a purchase price of $25 or more, in which (1) the seller or seller's representative personally solicits the sale — including a solicitation in response to or following an invitation by the buyer — and (2) the buyer's agreement or offer to purchase is made at a place other than the seller's place of business.

Supporting definitions. - "Purchase price" = total price paid or to be paid, including all interest and service charges (§14-301(h)). - "Business day" = any calendar day except Sunday or these holidays: New Year's Day, Washington's Birthday, Memorial Day, Independence Day, Labor Day, Columbus Day, Veterans' Day, Thanksgiving Day, Christmas Day (§14-301(b)). Saturday is a business day. - "Consumer goods/services" include goods or services for personal, family, or household purposes and courses of instruction or training regardless of purpose (§14-301(c)). - "Home improvement contract" has the §8-101 Business Regulation Article meaning but excludes agreements for installing a smoke detector, heat detector, or carbon monoxide detector (§14-301(e)(2)). - "Place of business" = the main or permanent branch office or local address of a seller (§14-301(g)).

Exemptions (§14-301.1). The subtitle does not apply where: (1) the transaction follows prior negotiations during the buyer's visit to a retail establishment with a fixed permanent location where goods are exhibited or services offered on a continuing basis; (2) the consumer may rescind under the federal Consumer Credit Protection Act; (3) buyer-initiated bona fide immediate personal emergency, with a dated, signed, handwritten statement waiving cancellation and a good-faith substantial beginning of performance; (4) the transaction is conducted and consummated entirely by mail, telephone, or electronic communications and made without any other contact before delivery/performance; (5) a written change order with a handwritten waiver statement; (6) transactions pertaining to sale or rental of real property, sale of insurance, or sale of securities/commodities by an SEC- or State-registered broker-dealer.