MD HB385

Requires businesses using point-of-sale systems with automatic tip prompts to display a notice that tips are for employees and include either a tip amount set at zero by default or a "no-tip" option on the same screen, beginning July 1, 2026

Exempts transactions for customers seated at a table or bar, as well as purchases made through a customer's mobile device or online

Requires the Maryland Department of Labor and the Division of Consumer Protection to publish information about these requirements on their public websites

Classifies violations as unfair, abusive, or deceptive trade practices under Title 13 of the Commercial Law Article, subject to enforcement and penalties (excluding certain provisions)

Takes effect October 1, 2025, with compliance required by July 1, 2026