(a) A United States Registered Pilot, on receipt of notice from the U.S. Coast Guard that he or she has violated any regulation made pursuant to the Act, which violation the Director determines is grounds for suspension or revocation of the pilot's Certificate of Registration, shall have fifteen (15) days from the receipt of such notice in which to notify the Director that he or she elects to exercise his or her right to a hearing as to the grounds for the proposed suspension or revocation. A pilot failing to notify the Director within the prescribed period is deemed to have waived his or her right to a hearing.

(b) A United States Registered Pilot whose application was timely filed, on receipt of notice that renewal of his or her Certificate of Registration has been denied pursuant to § 401.240(c), who fails to notify the Director within fifteen (15) days of the receipt of such notice that he or she desires a hearing, is deemed to have waived his or her right to a hearing.

(a) The Director, upon receipt of notice that a U.S. Registered Pilot elects to exercise his rights to a hearing, shall arrange for a hearing and notify the pilot of the time, date and place it is to be held.

(a) The hearing shall be held at the time and place designated with due regard to the convenience and necessity of the parties.

(b) The hearing shall be held on the record before an Administrative Law Judge appointed as provided by section 11 of the Administrative Procedure Act (5 U.S.C. 3105). Hearings shall be conducted in accordance with sections 5, 7, and 8 of the Administrative Procedure Act, as amended (5 U.S.C. 554,556,557.

(a) The United States Registered Pilot, Apprentice Pilot, Apprentice Pilot with Limited Registration, or Temporary Registered Pilot designated “respondent” in a suspension or revocation hearing or “applicant” in a refusal-to-renew-registration hearing, may be represented before the Administrative Law Judge by any person who is a member in good standing of the bar of the highest court of any State, Commonwealth, Territory, Possession, or the District of Columbia, upon filing with the Administrative Law Judge a written declaration that they are currently qualified and are authorized to represent the particular party in whose behalf they act.

(b) Whenever a person acting in a representative capacity appears in person or signs a paper in practice before the Administrative Law Judge, Director, Commandant, the Administrator, or other official of the U.S. Coast Guard, their personal appearance or signature constitutes a representation that under the provisions of this subpart and applicable law they are authorized and qualified to represent the particular person in whose behalf they act.

(c) When any United States Registered Pilot, Apprentice Pilot, Apprentice Pilot with Limited Registration, or Temporary Registered Pilot is represented by an attorney at law, any notice or other written communication required or permitted to be given to or by such a Pilot must be given to or by such attorney. If a Pilot is represented by more than one attorney, service by or upon any one of such attorneys is sufficient.

(a) In a suspension or revocation hearing, the Director shall have the burden of establishing, by substantial evidence, the grounds for a suspension or revocation of a Certificate of Registration held by a pilot, as stated in the letter addressed to such pilot notifying him of the U.S. Coast Guard intention to suspend or revoke the pilot's registration.

(b) In a refusal-to-renew-registration hearing, the Director shall have the burden of establishing the grounds for the Director's determination under § 401.240(c) to deny renewal of the Certificate of Registration.

(a) The U.S. Registered Pilot may appear in person or by counsel and may testify at the hearing, call witnesses on their own behalf, and cross-examine witnesses appearing on behalf of the Director.

(1) In any case in which the U.S. Registered Pilot, after being duly served with the notice of the time and place of the hearing, fails to appear at the time and place specified for the hearing, a notation to that effect must be made in the record and the hearing may then be conducted “in absentia.”

(2) The Administrative Law Judge must also cause to be placed in the record all the facts concerning the issuance and service of the notice of hearing and the allegations against the U.S. Registered Pilot.

(b) The Director, through counsel, must appear, present evidence, call witnesses, and cross-examine the witnesses called on behalf of the U.S. Registered Pilot.

(c) At the discretion of the Administrative Law Judge, other witnesses may testify at the hearing.

The Administrative Law Judge presiding at the hearing must exclude irrelevant, immaterial, or unduly repetitious evidence.

The transcript of testimony and oral argument at the hearing, together with any exhibits received, will be made part of the record for decision, and the record will be available to the respondent or applicant on payment of costs thereof.

At the conclusion of the hearing, the parties may submit briefs and recommended conclusions and findings within such time as the Administrative Law Judge determines appropriate. The Administrative Law Judge will thereafter issue a written initial decision in the case, which decision will be final and binding upon the Director, except as provided in § 401.650.

(a) The Commandant may, on their own motion, or on the basis of a petition filed by the United States Registered Pilot, Apprentice Pilot, Apprentice Pilot with Limited Registration, or Temporary Registration Pilot in the proceedings of the Commandant, review any initial decision of the Administrative Law Judge by entering a written order stating that they elect to review the action of the Administrative Law Judge. Copies of all orders for review, replies, and decisions must be served on all parties.

(b) A petition for review must be in writing and must state the grounds upon which the petition relies. A petition for review must be limited to the record before the Administrative Law Judge. A hard copy or electronic version of such a petition for review, together with proof of service on all parties, must be filed with the Commandant (CL) within fifteen (15) days after the date of service of the initial decision of the Administrative Law Judge. Parties may file replies, in writing, to a petition for review, with proof of service on other parties in the same manner and number of copies as is provided for filing of a petition for review and within ten (10) days after the date the petition for review is timely filed. A reply must be limited to the record before the Administrative Law Judge and the petition for review.

(c) The initial decision of an Administrative Law Judge will be made final;

(1) Fifteen (15) days after the timely filing of a petition to review unless a reply is filed thereto, or the Commandant enters a written order granting the petition for review; or

(2) Twenty (20) days after the date of service of the Administrative Law Judge's decision if no petition for review is filed and the Commandant does not elect to review on his or her own motion.

(d) If the Commandant reviews the initial decision as provided in this section, they must issue a written order affirming, amending, overruling, or remanding the initial decision of the Administrative Law Judge within thirty (30) days after the date on which they take review. There is no other administrative remedy within the Department of Homeland Security.

(e) When the Commandant has sustained an order of suspension or revocation of a registration, the respondent may appeal to the National Transportation Safety Board under 49 CFR 825.5 within ten (10) days after service of the Commandant decision.